US Stock Market Sector Analysis – Thursday, September 05, 2024 BEARISH

The US stock market opened with a risk-off tone after a new active alert flagged NVIDIA (NVDA) down -17.5% from its 20-day high, a development that rippled through the AI-linked Mag 7 and chip supply chain groups. The Mag 7 (AI Spenders) group still managed a +1.5% sector gain as Tesla (TSLA) led with a +4.9% move to $230.17 and Amazon (AMZN) added +2.6% to $177.89, while NVIDIA (NVDA) traded at $107.03, up +0.9% on the day despite the alert. Broader market participation was weak: just 3 sectors advanced while 18 declined, and sectors above their 50-day moving average sit evenly at 12 versus 12 below. Key movers included Zscaler (ZS) rallying to $162.25 (+3.3%) and Hewlett Packard Enterprise (HPE) sliding to $16.79 (-6.0%), underscoring the bifurcated S&P 500 internals today.

Market Condition Dashboard

US 10-Year Treasury Yield

Neutral

3.73%

falling

Impact

Confidence

Crude Oil (WTI)

Neutral

$69.15

-0.1% 1D

Impact

Confidence

VIX (Fear Index)

Normal Range

19.9

-6.7% 1D

Impact

Confidence

Put/Call Ratio (5D)

Caution

0.75

Call-Heavy · stable

Impact

Confidence

Signal analysis only — not investment advice

Sector Performance (Base=100)

AI and Technology Sector Analysis

AI investment flows remain concentrated in the Mag 7 while the recent NVDA (NVIDIA) $107.03 alert adds near-term volatility to the theme; investors rotated to other AI beneficiaries like Tesla (TSLA) $230.17 and Amazon (AMZN) $177.89 as relative safety. Chip supply chain names such as ARM Holdings (ARM) $123.09 are holding modest gains, but weakness in chip equipment — exemplified by ASML (ASML) $783.50 down -2.0% — highlights capacity and equipment-sentiment risk. Infrastructure and enterprise software remain critical to the AI rollout, with Hewlett Packard Enterprise (HPE) $16.79 under pressure and Zscaler (ZS) $162.25 showing strength that supports selective exposure to software-first AI plays versus capital-intensive hardware.

US Stock Sector Overview

Sector	1D	5D	20D	vs 50MA
Mag 7 (AI Spenders)	+1.5%	-0.2%	+4.2%	ABOVE
Chip Supply Chain	-0.0%	-3.3%	+2.8%	BELOW
Infrastructure	-2.2%	-5.0%	+2.7%	BELOW
Enterprise Software	-0.8%	-1.7%	+3.5%	ABOVE
Finance	-0.7%	-2.9%	+3.8%	BELOW
Healthcare	-2.5%	-1.1%	+6.6%	ABOVE
Retail	-0.4%	+0.3%	+9.8%	ABOVE
IT Services	-0.8%	+1.0%	+7.0%	ABOVE
Airlines	+0.8%	+3.6%	+8.0%	ABOVE
Hospitality & Travel	-0.3%	-1.9%	+8.9%	ABOVE
Food & Restaurant	-0.4%	-1.4%	+14.2%	ABOVE
Logistics	-1.9%	-1.7%	+2.3%	BELOW
Industrial	-1.1%	-3.7%	+0.7%	BELOW
Cybersecurity	+0.5%	-9.1%	+3.1%	BELOW
Chip Equipment	-1.4%	-7.4%	-6.6%	BELOW
Data Center REITs	-0.1%	+0.3%	+1.1%	BELOW
Utilities	-0.2%	+2.9%	+4.5%	ABOVE
Energy	-0.8%	-4.3%	-2.3%	BELOW
Defense & Aerospace	-0.4%	-0.5%	+3.5%	ABOVE
Telecom	-0.3%	+1.2%	+3.5%	ABOVE
Media & Entertainment	-0.0%	-1.3%	+5.8%	BELOW
Biotech	-1.2%	-1.4%	+2.4%	BELOW
Materials	-0.9%	-1.3%	+1.1%	ABOVE
Analog & Embedded Chips	-0.7%	-4.9%	+2.1%	BELOW

Sector Strength

Mag 7 (AI Spenders) +1.5% 20d: +4.2%

Tesla (TSLA) +4.9% (20d: +15.8%), Amazon (AMZN) +2.6% (20d: +7.3%), NVIDIA (NVDA) +0.9% (20d: +2.1%) [<50MA]

Airlines +0.8% 20d: +8.0%

United (UAL) +2.2% (20d: +9.6%), Delta (DAL) -0.5% (20d: +6.5%)

Cybersecurity +0.5% 20d: +3.1%

Zscaler (ZS) +3.3% (20d: -5.5%) [<50MA], Palo Alto Networks (PANW) -0.7% (20d: +8.3%), CrowdStrike (CRWD) -1.1% (20d: +6.6%) [<50MA]

Sector Warnings

Healthcare -2.5% 20d: +6.6%

Eli Lilly (LLY) -3.5% (20d: +8.1%), UnitedHealth (UNH) -1.4% (20d: +5.2%)

Infrastructure -2.2% 20d: +2.7%

Hewlett Packard Enterprise (HPE) -6.0% (20d: +1.9%) [<50MA], Super Micro (SMCI) -2.1% (20d: -18.7%) [<50MA], Dell (DELL) -1.7% (20d: +17.2%) [<50MA]

Logistics -1.9% 20d: +2.3%

FedEx (FDX) -2.6% (20d: +2.4%) [<50MA], UPS -1.2% (20d: +2.2%) [<50MA]

Chip Equipment -1.4% 20d: -6.6%

ASML -2.0% (20d: -9.2%) [<50MA], Applied Materials (AMAT) -1.2% (20d: -5.2%) [<50MA], Lam Research (LRCX) -1.1% (20d: -5.4%) [<50MA]

Biotech -1.2% 20d: +2.4%

Amgen (AMGN) -1.9% (20d: +0.6%) [<50MA], Gilead (GILD) -0.5% (20d: +4.2%)

Sector Deep Dive

Chip Supply Chain showed a mixed intraday picture: ARM Holdings (ARM) climbed +1.8% to $123.09 as investors favored IP and licensing leverage in AI deployments, while chip equipment leader ASML (ASML) slipped -2.0% to $783.50. Over the 50-day window the supply chain group sits BELOW its 50-day context, signaling that equipment and capacity concerns are dampening durable upside even as selective suppliers outperformed on AI narrative.

Infrastructure and Datacenter names softened as Hewlett Packard Enterprise (HPE) dropped -6.0% to $16.79 and Super Micro (SMCI) fell -2.1% to $41.46; both names face N/A 50-day readings but are classified BELOW their 50-day context today, reflecting investor caution on capex timing. The pullback amplifies scrutiny on how quickly enterprises will accelerate on-prem and hybrid builds versus cloud-first deployments.

Airlines outperformed within cyclical pockets with United (UAL) up +2.2% to $45.12 and the sector posting +0.8% on the day; the group is ABOVE its 50-day reference in the 50-day window, suggesting travel demand resilience despite broader market stress. The move reinforces a tactical overweight on travel exposure for reflation-sensitive positioning as consumers maintain discretionary travel spending.

Healthcare showed divergence: Eli Lilly (LLY) declined -3.5% to $901.44, dragging healthcare averages lower and leaving the sector ABOVE its 50-day posture overall. The mix of biotech and large-cap pharma kept the 50-day trend constructive for the group, but stock-level volatility points to event-driven risk and the need for selective stock selection within the sector.

Market Breadth Analysis

US stock market breadth analysis shows 12 of 24 sectors trading above their 50-day moving average, while 12 are below. An even split above and below the 50-day MA suggests the market lacks directional conviction. Watch for a decisive shift in sector rotation to confirm the next trend.

Interactive Charts

S&P 500 & NASDAQ 100

50-Day Sector Performance

1-Day vs 5-Day Sector Change

Active Alerts

MEDIUM NVDA down -17.5% from 20-day high

Stock-Level Detail

Mag 7 (AI Spenders) Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
TSLA	$230.17	+4.9%	+11.6%	+15.8%	N/A	ABOVE	0
AMZN	$177.89	+2.6%	+3.4%	+7.3%	N/A	ABOVE	0
NVDA	$107.03	+0.9%	-8.8%	+2.1%	N/A	BELOW	0
META	$513.41	+0.8%	-0.3%	+1.4%	N/A	ABOVE	0
AAPL	$220.73	+0.7%	-3.2%	+4.4%	N/A	ABOVE	0
GOOG	$157.39	+0.5%	-2.9%	-3.2%	N/A	BELOW	0
MSFT	$402.80	-0.1%	-1.1%	+1.6%	N/A	BELOW	3

Chip Supply Chain Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
ARM	$123.09	+1.8%	-6.7%	+3.9%	N/A	BELOW	0
TSM	$159.60	+1.8%	-3.2%	-0.5%	N/A	BELOW	0
INTC	$19.40	-0.2%	-3.6%	-5.3%	N/A	BELOW	3
QCOM	$157.68	-0.5%	-2.9%	-0.2%	N/A	BELOW	1
AVGO	$150.00	-0.8%	-2.6%	+4.9%	N/A	BELOW	1
AMD	$139.44	-1.0%	-4.2%	+2.3%	N/A	BELOW	1
MRVL	$69.51	-1.4%	+0.1%	+14.3%	N/A	ABOVE	1

Infrastructure Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
VRT	$74.97	+0.1%	-6.0%	+5.8%	N/A	BELOW	0
CSCO	$46.85	-1.1%	-2.5%	+7.2%	N/A	ABOVE	3
DELL	$104.09	-1.7%	-3.2%	+17.2%	N/A	BELOW	3
SMCI	$41.46	-2.1%	-7.6%	-18.7%	N/A	BELOW	2
HPE	$16.79	-6.0%	-5.6%	+1.9%	N/A	BELOW	3

Enterprise Software Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
NOW	$167.08	+0.1%	+0.5%	+4.9%	N/A	ABOVE	0
CRM	$242.63	-0.6%	-4.2%	-1.2%	N/A	BELOW	7
ADBE	$567.93	-1.3%	-0.3%	+7.1%	N/A	ABOVE	1
PLTR	$30.16	-1.4%	-2.7%	+3.0%	N/A	ABOVE	1

Finance Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
GS	$471.20	-0.6%	-3.8%	+1.0%	N/A	BELOW	1
JPM	$208.85	-0.8%	-2.1%	+6.7%	N/A	ABOVE	3

Healthcare Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
UNH	$569.21	-1.4%	+0.7%	+5.2%	N/A	ABOVE	1
LLY	$901.44	-3.5%	-2.9%	+8.1%	N/A	ABOVE	3

Retail Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
WMT	$75.76	-0.4%	+0.7%	+14.1%	N/A	ABOVE	1
COST	$877.74	-0.5%	-0.1%	+5.5%	N/A	ABOVE	1

IT Services Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
IBM	$193.41	-0.7%	+1.9%	+6.1%	N/A	ABOVE	1
ACN	$328.01	-0.9%	+0.2%	+7.9%	N/A	ABOVE	1

Airlines Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
UAL	$45.12	+2.2%	+5.8%	+9.6%	N/A	ABOVE	0
DAL	$41.22	-0.5%	+1.5%	+6.5%	N/A	ABOVE	1

Hospitality & Travel Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
MAR	$225.45	-0.2%	-1.0%	+6.4%	N/A	ABOVE	3
BKNG	$148.85	-0.5%	-2.8%	+11.4%	N/A	ABOVE	3

Food & Restaurant Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
MCD	$276.30	-0.0%	+0.6%	+6.8%	N/A	ABOVE	1
SBUX	$87.56	-0.8%	-3.5%	+21.6%	N/A	ABOVE	6

Logistics Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
UPS	$114.21	-1.2%	+0.3%	+2.2%	N/A	BELOW	1
FDX	$220.67	-2.6%	-3.7%	+2.4%	N/A	BELOW	3

Industrial Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
CAT	$326.04	-0.9%	-5.1%	-0.8%	N/A	BELOW	3
HON	$193.36	-1.2%	-2.2%	+2.1%	N/A	BELOW	1

Cybersecurity Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
ZS	$162.25	+3.3%	-17.7%	-5.5%	N/A	BELOW	0
PANW	$171.87	-0.7%	-4.0%	+8.3%	N/A	ABOVE	3
CRWD	$64.11	-1.1%	-5.6%	+6.6%	N/A	BELOW	3

Chip Equipment Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
LRCX	$74.31	-1.1%	-5.2%	-5.4%	N/A	BELOW	3
AMAT	$177.59	-1.2%	-6.6%	-5.2%	N/A	BELOW	3
ASML	$783.50	-2.0%	-10.4%	-9.2%	N/A	BELOW	3

Data Center REITs Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
DLR	$141.47	+0.6%	+0.3%	+0.2%	N/A	BELOW	0
EQIX	$791.28	-0.7%	+0.4%	+2.0%	N/A	ABOVE	3

Utilities Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
SO	$84.53	+0.4%	+4.3%	+4.4%	N/A	ABOVE	0
DUK	$109.81	-0.2%	+3.4%	+4.9%	N/A	ABOVE	1
NEE	$76.30	-0.9%	+1.0%	+4.3%	N/A	ABOVE	1

Energy Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
XOM	$106.83	-0.8%	-4.2%	-3.2%	N/A	BELOW	4
CVX	$130.84	-0.8%	-4.4%	-1.4%	N/A	BELOW	3

Defense & Aerospace Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
GD	$286.14	+1.0%	-0.2%	+2.2%	N/A	ABOVE	0
LMT	$542.44	-1.1%	+0.9%	+3.7%	N/A	ABOVE	1
RTX	$115.96	-1.2%	-2.2%	+4.5%	N/A	ABOVE	1

Telecom Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
T	$18.84	+0.4%	+4.5%	+6.4%	N/A	ABOVE	0
VZ	$36.23	-0.4%	+0.1%	+1.9%	N/A	ABOVE	2
TMUS	$191.49	-0.8%	-1.1%	+2.2%	N/A	ABOVE	2

Media & Entertainment Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
NFLX	$68.36	+0.6%	-1.3%	+8.5%	N/A	ABOVE	0
DIS	$86.63	-0.7%	-1.3%	+3.1%	N/A	BELOW	1

Biotech Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
GILD	$74.37	-0.5%	-0.9%	+4.2%	N/A	ABOVE	2
AMGN	$307.18	-1.9%	-2.0%	+0.6%	N/A	BELOW	1

Materials Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
APD	$259.99	-0.4%	-1.3%	-2.0%	N/A	ABOVE	3
LIN	$454.97	-1.4%	-1.2%	+4.3%	N/A	ABOVE	3

Analog & Embedded Chips Show individual tickers

Ticker	Price	1D	5D	20D	50D	vs 50MA	Down Days
MCHP	$73.09	-0.2%	-5.2%	-0.1%	N/A	BELOW	1
TXN	$191.70	-1.2%	-4.5%	+4.3%	N/A	ABOVE	1

Key Stock Movers

Today's biggest movers by absolute percentage change: Hewlett Packard Enterprise (HPE) (Infrastructure) fell 6.0% to $16.79. Tesla (TSLA) (Mag 7 (AI Spenders)) rose 4.9% to $230.17. Eli Lilly (LLY) (Healthcare) fell 3.5% to $901.44. Zscaler (ZS) (Cybersecurity) rose 3.3% to $162.25. Amazon (AMZN) (Mag 7 (AI Spenders)) rose 2.6% to $177.89. These individual stock movements were key drivers of their respective sector performance.

Risk and Opportunity Assessment

There are 1 medium-severity risk signals to monitor. While not requiring immediate action, keep an eye on the flagged sectors for further deterioration.

US Stock Market Outlook

Market breadth remains tepid with only 3 sectors up versus 18 down and a split 12/12 for sectors above versus below the 50MA, while the single medium alert on NVDA increases short-term volatility risk. With several key sectors (chip equipment, infrastructure, logistics) trading below their 50-day context and Mag 7 mixed around their 50-day positions, constructive positioning favors quality AI exposure in enterprise software and select travel cyclicals while trimming capital-intensive hardware where 50-day trends are negative. Monitor alert counts and breadth readings for confirmation before adding cyclicals; use tighter risk controls around names affected by the NVDA signal.

← 2024-09-04

Calendar

2024-09-06 →