Dow Rises, S&P Gains Amid Mixed Nasdaq as Investors Await CPI Data

### Major Index Performance- **Dow Jones Industrial Average (DJI):** Rose 0.5%, or 221.16 points, to close at 42,518.28. Nineteen components of the 30-stock index ended in positive territory, while 11 ended in negative[1].- **S&P 500:** Gained 6.69 points, or 0.1%, to close at 5,842.91. Eight of the 11 broad sectors of the benchmark index closed in the green[1].- **Nasdaq Composite:** Lost 43.71 points, or 0.2%, to close at 19,044.39[1].### Key Factors Driving Today's Market Direction- **Producer Price Index (PPI):** Advanced 0.2% in December, which is cooler than the 0.4% in November. Core PPI remained unchanged in December, boosting investor morale[1].- **Awaiting Consumer Price Index (CPI):** Investors are eagerly awaiting CPI numbers due on Wednesday, which is a key benchmark for inflation[1].- **Utilities and Financial Stocks:** These sectors made significant gains, with the Utilities Select Sector SPDR (XLU), Materials Select Sector SPDR (XLB), and Financials Select Sector SPDR (XLF) advancing 1.3%, 1.2%, and 1.2%, respectively[1].### Notable Sector Performance- **Top Gainers:** Utilities, Materials, and Financials sectors saw significant gains[1].- **Top Decliners:** The Healthcare Select Sector SPDR (XLV) declined 1%[1].### Market Highlights- **Most Actively Traded Stocks:** Shares of American Strategic Investment Co. and Blackstone Inc. jumped 5.2% and 2.1%, respectively[1].- **Biggest Percentage Gainers and Losers:** Specific stocks mentioned include American Strategic Investment Co. and Blackstone Inc. as gainers, but no specific losers were highlighted[1].- **Significant Market-Moving News Events:** The release of PPI data and the anticipation of CPI data are key events. Additionally, the labor market's resilience and Fed officials' hawkish comments are influencing market sentiment[1][4].### Important Economic Data Releases and Their Impact- **PPI:** Cooler than expected, which boosted investor morale but kept the market in a wait-and-watch mode for CPI numbers[1].- **CPI:** Due on Wednesday, this is a critical data point for understanding inflation trends[1][4].### Technical Analysis- **Current Market Trend:** Mixed, with some bearish indicators. The overall momentum for the S&P 500 is bearish, with potential for a bearish continuation towards the first support level of 5,777.80[3].- **Key Support and Resistance Levels:** - **S&P 500:** Pivot at 5,866.80, first support at 5,777.80, and first resistance at 5,920.68[3]. - **DXY (US Dollar Index):** First support at 108.47, first resistance at 111.73[3].- **Trading Volume Analysis:** Total of 13.6 billion shares traded, lower than the last 20-session average of 15.7 billion. Advancers outnumbered decliners by a 2.81-to-1 ratio on the NYSE, and on the Nasdaq Composite, advancing issues had a 1.39-to-1 advantage[1].- **VIX Movement and Implications:** Decreased 2.5% to 18.71, indicating reduced volatility[1].### Forward-Looking Elements- **Pre-market Futures Indication:** Not specified in the sources.- **Key Events to Watch for Tomorrow:** - **Consumer Price Index (CPI):** Due on Wednesday, this is a crucial data point for inflation[1][4]. - **Big Banks Earnings:** Reporting begins on Wednesday, which could impact market sentiment[4].- **Important Upcoming Earnings Releases:** Big banks begin reporting on Wednesday[4].- **Potential Market Catalysts:** CPI data, bank earnings, and the ongoing impact of Treasury yields and Fed policy on market sentiment[1][4].This content was created in partnership and with the help of Artificial Intelligence AI