In this Monday morning market update, Stephen Whiteside notes that stock index futures are trading above fair value, with the Dow up over 300 points in the premarket. Despite this, he cautions that such a move is insignificant given the current volatility. With no major economic data expected until Wednesday and a holiday-shortened week ahead, a slight bullish bias is anticipated. He highlights Friday’s reconfirmed buy signals in stocks like Nvidia and discusses potential short-term gains in oversold stocks, while also noting that other big names like Tesla and Shopify have not yet confirmed new uptrends.
Stephen observes early strength in crude oil and weakness in gold, which may stabilize the Canadian market. He warns that current upward momentum mostly reflects short covering, not new investor buying. Most charts are showing rebounds from oversold conditions, but any move toward the 200-day moving average may reverse. He also flags concerns over continued weakness in bonds, which could push yields higher and challenge the Fed’s stance, potentially threatening stock market stability moving forward.
Stephen Whiteside
Monday, April 14, 2025
