Loading ...A big day for the US stock market. The DOW rose 371 to 26,378. The DOG leaped 176 to 8,039.
CNBC Evening Brief
If you were vacationing for the past few days, based on where the market is now you would probably assume you didn’t miss much. We’re essentially back where we started after a wild trading week.
Stocks rose on Thursday, erasing most of the steep losses from earlier in the week thanks to a rebound in global bond yields and better-than-expected trade data out of China. The Nasdaq and S&P 500 eked out a small weekly gain through Thursday. The chart below gives you a sense of Dow’s volatility.
The rebound was nothing short of dramatic. But according to Nomura, investors shouldn’t be too excited about this comeback. Masanari Takada, a macro and quant strategist at Nomura, said the recovery was supported by dip buying and technical positioning by speculative traders. Based on that, it’s bound to be short-lived as market sentiment continues to deteriorate.
Takada caught investors’ attention this week with his call for a “Lehman-like” sell-off as soon as late August. In his latest note, he says the rebound in U.S. stocks is a “mere technical rally that looks like no more than a bump in the road on the way down.”