Stock Market Update Monday July 1, 2024

Stock Market Update Monday July 1, 2024 The third quarter commenced with a lackluster opening session, as equities drifted through another subdued trading day. The S&P 500 index eked out a modest 0.2% gain, The afternoon saw a 1% surge in the Nasdaq, pulling the broader market slightly higher. 

Away From Stocks: U.S. Treasury securities experienced continued selling pressure, driving the 30-year yield to 4.64%, a significant 21 basis point increase from Thursday's close. In the commodities markets, West Texas Intermediate (WTI) crude oil prices surpassed the $83 per barrel threshold, gold prices edged slightly higher to $2,332 per ounce, and bitcoin appreciated by 1%, reaching $63,300. With the upcoming July 4th holiday in the United States, stock markets are expected to experience lighter trading volume. The CBOE Volatility Index (VIX), a key indicator of anticipated market volatility, remained relatively subdued just above 12.

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This rally precedes the release of the company's quarterly sales figures, which are widely anticipated to be underwhelming at 440,000 units, signaling a second consecutive quarter of year-over-year declines. Historically, TSLA's stock price has not been significantly impacted by these updates, with investors focusing more on developments related to the Humanoid robot, Robotaxis, and Elon Musk's August announcement.

Furthermore, there is a possibility of a positive surprise if weekly registrations out of China surpass expectations. From a technical analysis standpoint, today's upward movement is noteworthy. This breakout indicates a potential rally, which could propel TSLA towards the purple resistance lin, the initial significant upside target.

Tesla $TSLA continues to be an attractive investment based on technical indicators, and the recent surge in momentum resulting from today's minor breakout is both remarkable and bullish.