NASDAQ Index, S&P 500, Dow Jones Analysis – Stocks Remain Under Pressure After Strong Jobs Data

S&P 500 080323 Daily Chart

S&P 500 remains under pressure as traders remain focused on the recent changes in Fed policy outlook.

Today, traders had a chance to take a look at the ADP Employment Change report, which indicated that private businesses added 242,000 jobs in February, compared to analyst consensus of 200,000. JOLTs Job Openings report has also exceeded analyst expectations, highlighting the strength of the job market.

Interestingly, the reports did not have a significant impact on market dynamics. Traders were prepared for strong reports after yesterday’s comments from Fed Chair Powell, who noted that Fed would have to be more aggressive to fight inflation.

As a result, there was no sell-off after the better-than-expected job market data, although stocks remained under some pressure. Energy stocks were among the worst performers in the S&P 500 today as traders focused on the pullback in oil markets. Meanwhile, Real Estate stocks rebounded after yesterday’s sell-off.


NASDAQ 080323 Daily Chart

NASDAQ settled near the 12,150 level as demand for chip stocks remained strong. AMD and NVIDIA were up by about 3% in today’s trading session as traders bet that AI-related demand would boost their revenue.

If NASDAQ manages to settle back above the 20 EMA at 12,175, it will have a good chance to gain additional upside momentum and move towards the recent highs near the 12,500 level.

Dow Jones

Dow Jones 080323 Daily Chart

Dow Jones moved towards yearly lows amid rate hike worries. Merck was the worst performer among Dow Jones components today. Today’s pullback was broad, and there were no notable gainers in the index, although Apple and Intel managed to gain some ground in today’s trading session.

For a look at all of today’s economic events, check out our economic calendar.