Morning Preview: December 29, 2023

Early Look

Friday, December 29, 2023









S&P 500










U.S. stock futures hover around the flat line to start the final trading of 2023, with the Spuz up about 3 points at 4,835, and looking to end the year at a new all-time, while wrapping out a whopping 9th straight week of gains! The 10-year yield is up 4-bps to 3.88% after settling at higher Thursday and up about 6.3-bps YTD after a wide range in 2023 (52-week highs of 4.987% on 10/19 and 52-week lows of 3.285% on 4/5). After chopping up and down on Thursday, the S&P 500 closed essentially unchanged, retracing early gains as all three indexes remained on track course for monthly, quarterly, and annual gains. The S&P 500 came a few points off its record closing high of 4,796.56 reached on Jan. 3, 2022. Data released early in the day, including jobless claims, pending home sales and preliminary trade/inventories all painted a picture of a softening but resilient economy and keeps the hopes alive for sooner than expected rate cuts in 2024. In Asian markets, The Nikkei Index fell -75 points to 33,464, the Shanghai Index rose 20 points to 2,974, and the Hang Seng Index gained 3 points to 17,047. In Europe, the German DAX is up 40 points to 16,741, while the FTSE 100 is up 16 points to 7,739. With the Fed’s aggressive rate hikes cooling the U.S. labor market as well as pressuring the economy, investors have amplified their bets of rate cuts heading into 2024. As per CME’s FedWatch tool, the probability of policymakers cutting the Fed funds target rate by 25 bps in March stood at 70.1%. Going into the last trading day of 2023, the Nasdaq Composite is up 44% YTD, the S&P 500 +24.5%, the Dow Jones Industrials +13.75%, and the Russell 2000 +16.8%, while semis (SOX) up 66% YTD.


Market Closing Prices Yesterday

  • The S&P 500 Index edged higher 1.77 points, or 0.04%, to 4,783.35.
  • The Dow Jones Industrial Average rose 53.58 points, or 0.14%, to 37,710.10.
  • The Nasdaq Composite slipped -4.04 points, or 0.03%, to 15,095.14.
  • The Russell 2000 Index declined -7.88 points, or 0.38% to 2,058.34.

Economic Calendar for Today

  • 9:45 AM ET                  Chicago PMI for December
  • 1:00 PM EST                Baker Hughes Weekly rig count data





















10-Year Note




World News

  • Russia has launched its biggest missile and drone attack on multiple Ukrainian cities since the start of its full-scale invasion, Financial Times.
  • Colorado puts Donald Trump back on 2024 GOP primary ballot, while Maine disqualified Donald Trump from the state ballot in next year’s U.S. presidential primary election, becoming the second state to bar the former president.

Sector News Breakdown


  • Uber (UBER) downgraded to Neutral from Buy and Lyft (LYFT) downgraded to Reduce from Neutral at Nomura.
  • Fisker (FSR) said it plans to increase the number of test-drive events it conducts in the US and Europe as the company has witnessed higher sales rates after the Ocean firsthand experience.

Energy, Industrials and Materials

  • Kadant (KAI) said it has entered into a definitive agreement to acquire Key Knife, Inc. and certain of its affiliates for approximately $156M in cash, subject to certain customary adjustments.


  • Altisource Portfolio Solutions Sa (ASPS) files for shelf of up to 1.6M shares of common stock by selling stockholders.


  • AstraZeneca (AZN) mentioned positively in Barron’s saying its shares could get a shot in the arm in 2024.
  • Cigna (CI) still forecasts FY adj operating EPS at least $24.75, vs. est. $24.84; reaffirms forecast.

Technology, Media & Telecom

  • Alphabet’s (GOOGL) Google has agreed to settle a lawsuit claiming it secretly tracked the internet use of millions of people who thought they were doing their browsing privately. U.S. District Judge Yvonne Gonzalez Rogers in Oakland, California, put a scheduled Feb. 5, 2024, trial in the proposed class action on hold on Thursday, after lawyers for Google and for consumers said they had reached a preliminary settlement. The lawsuit had sought at least $5B.
  • Jabil Inc. (JBL) lowered Q2 revenue guidance to $6.6B-$7.2B from prior $7.0B-$7.6B view because the deal to sell its mobility business closed a month earlier than expected; guided Q2 adj EPS to $1.43-$1.83 from $1.73- $2.13 saying prior ranges provided earlier in December assumed the sale of the mobility business to BYD Electronic would close at the end of January, but closed on 12/29/24.
  • (JD) says it won $141 million in damages in a years-long anti-monopoly case filed against its larger e-commerce rival Alibaba (BABA). Zhejiang Tmall Network, Zhejiang Tmall Technology and Alibaba Group were found to have abused market dominance and engaged in monopolistic practices.
  • Nvidia (NVDA) to launch slower version of its gaming chip in China to comply with U.S. export controls. A product page on Nvidia’s website for Chinese consumers shows that the new Nvidia RTX 4090D has 11% fewer processing cores than versions sold outside of China – CNBC.


Market commentary provided by Hammerstone Markets, Inc, a firm separate from and not affiliated with Regal Securities. Regal Securities has not participated in the creation of the content, and does not explicitly or implicitly endorse the content.