June 6, 2024

Markets:

Stock futures were little changed on Thursday morning after the S&P 500 notched a new record closing high thanks to a rally in artificial intelligence chip darling Nvidia.

Lululemon jumped 7% as the sportswear manufacturer beat expectations in its fiscal first quarter. Five Below sank nearly 15% on lackluster results and guidance.

Stocks are coming off a winning session. The S&P 500 jumped 1.18% to close at 5,354.03. The index also touched a new intraday all-time high of 5,354.16. The Nasdaq Composite jumped 1.96% to 17,187.90 and also hit a new record, while the Dow Jones Industrial Average added 0.25% to close at 38,807.33.

The European Central Bank cut rates for the first time since 2019 on Thursday, raising the pressure on the Federal Reserve to potentially lighten its policy that many see as too restrictive. The Fed next decides on rates next week and is likely to keep rates the same, though bets that they will cut in September are rising.

Wall Street is looking ahead to Friday’s nonfarm payrolls report for May, with investors on the hunt for signs of a weakening labor market, which could support rate cuts from the Federal Reserve. Private payrolls data from ADP released Wednesday showed a slowdown in hiring.

Portfolio:

We enter the new trading day holding set-ups in MARA, AI, AMDL, PLTR, and TSLL. Queue continues to ignite here and we have monster opportunity that is finally seeing follow through. This market has been great recently at running higher, sucking premium out, and then running again. We mentioned a few names looking hot for breakouts and they emerged. We are also keeping a close eye on large upside call lots being purchased within the Q's and SPY. This rally is far from over and the hated rally marches on. But the real move has yet to begin. Once the chase starts, your opportunity will be the best yet to trade.

Be ready today and lets have a great session.