Stock Market Update Thursday January 2, 2025

Stock Market Update Thursday January 2, 2025 Equity markets began 2025 with a winding trajectory, as an initial surge in S&P 500 futures overnight gave way to a mid-session pullback, ultimately leaving the benchmark index down by a modest 0.2%.

Away From Stocks: The Treasury market mirrored the choppy activity, but longer-dated bonds closed the session on firmer footing, with yields on the 10-year and 30-year notes ending at 4.57% and 4.79%, respectively. In commodities, West Texas Intermediate (WTI) crude extended its rally, climbing above $73 per barrel, while gold posted a robust 1.3% gain to settle at $2,659 per ounce. On the cryptocurrency front, Bitcoin hovered near $97,000, continuing its meteoric rise. Meanwhile, the CBOE Volatility Index (VIX) edged closer to 18, reflecting a tempered risk environment as investors weighed market conditions.

Tesla has not yet activated a sell signal within our proprietary algorithm, though we anticipate that such a trigger could occur as early as tomorrow. Our investment framework prioritizes disciplined execution, avoiding short positions on indices or individual equities. Instead, we strategically build positions aligned with validated buy signals, adhering to a methodical and data-driven approach to capital allocation.