MARKET WRAP

Stocks closed the day lower after hitting all-time intraday highs earlier in the session.

The S&P 500 was down 0.4%, while the Nasdaq was down 0.7%. Still, the major averages saw big gains in the first half of the year. The S&P is up more than 14% and the Nasdaq is up nearly 17%.

The top five best-performing stocks so far this year are chip stocks Super Micro and Nvidia, up nearly 200% and 150%, respectively. Utility stocks Vistra Corp, up 121%, and Constellation Energy, up 74% and health care giant Eli Lilly, up 56%.

The worst performers are Walgreens, Lululemon, and Intel. Those stocks are down 53%, 41%, and 38%, respectively.

Sector-wise, Technology and Communication Services are at the top - both up around 18% and Real Estate is at the bottom, the only sector in the red, down nearly 5%

MRKT MATRIX: June 21, 2024

Today’s Top Stories:

• Nvidia Stock Had a Stunning First Half. Why There Are Nerves About the Second. (Barron’s)

• JPMorgan’s Kolanovic Warns S&P 500 Will Plummet 23% by Year-End (Bloomberg)

• Goldman’s Rubner Sees Market Correction Ahead of ‘Unloved Rally’ (Bloomberg)

• Consumer Optimism About Stocks Hits Three-Year High, NY Fed Says (Bloomberg)

• Slowing U.S. Inflation Fuels Expectations of Interest Rate Cuts (WSJ)

• Nike’s Biggest Drop in 23 Years Puts Pressure on CEO Donahoe (Bloomberg)

• Microsoft and Eli Lilly are among the most overbought stocks as the first half ends (CNBC)

• Chewy’s stock slides one day after Roaring Kitty’s cryptic dog post (MarketWatch)

• Morgan Stanley wealth advisors are about to get an OpenAI-powered assistant to do their grunt work (CNBC)

• Goldman Sachs Deploys Its First Generative AI Tool Across the Firm (WSJ)

• Amazon Leans Into Generative AI to Manage Its Finances (WSJ)

• Democrats Discuss Replacing Biden on Presidential Ticket (WSJ)

• Biden says, ‘I can do this job,’ as betting markets put chance of re-election at new low (MarketWatch)

Today’s On The Tape is Presented by CME Group and iConnections

Asset Inflation: The Real AI with Mike Wilson

Mike Wilson, Chief Investment Officer at Morgan Stanley joins Guy Adami, Danny Moses, and Dan Nathan for an eighth time! The guys cover market performance, monetary policy post-pandemic, the yield curve's impact, and investor sentiment. They examine growth concerns, inflation risks, and potential impacts of fiscal policies and government spending. Mike Wilson shares insights on sectors like tech, industrials, and energy, and highlights the importance of watching labor market data and bond market movements. Attention is also given to global elections and their implications for the U.S. economy.

Learn More

• In a Surprise, OpenAI Is Selling More of Its AI Models Than Microsoft Is (The Information)

• Check out Mike's "Thoughts On The Market" Podcast

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