KG on Frozen Housing Market, Tech Weighing Down SPX & Crude Oil’s Reversal

certainly as far as the mic Let's get to the macro though. Get Kevin Green in here now to get us across some more of this housing data this morning. We've already had housing starts. Just get us across what we're hitting the wires right now. KG so for pending homes, we actually see a drop of 7.3% on a month over mon basis. That's actually a very significant drop. S looking only for a decline of 0.7%. We did not see a revision for the pre print here. And you are seeing theending home sales index sitting at6 previously was at 71.2. So over the last couple of myou have seen the housing data really kind of fall off a cliff here. Now this mowe also had housing starts. I think that was also a very big headline mov some of the housing market stocks as well. We saw that drop by 5.2% on a month over month. Street was looking for 1.9% there, and that was actually one of the bigger drops that we see in our declines that we've seen on a year over year basis as well. Actu if you go back, it's the second biggest drop that we've seen since July of 2020. So the housing market obviously is not looking really too over the last couple of months, even the last couple of ters or u look at some of these housing related stocks, they're actually advancing pretty aggressively today. Andtually, r so, Home Depot moving up over to advancing and D.R. Horton. So even some of the negative housing data that is coming out and hitting the market, you do have some buyers coming in and stepping in and gettingnto these names, maybe because do believe that we might be close to a bottoming here when it comes to this industry. Oh, okay. Interesting. Yea Big miss on the pending homes and as you say, the housing starts. And so it's just further confirmation of what we already know that this is a really tough time for the housing market. But yeah, to your point, real estate up a 1%. I was looking e of the iShares, you know, that track the materials, theuilding companies as well yesterday. I mean, off quite considerably, but it's interesting to obviously put it into context as to why some of these shares are rallying in the face of bad numbers. Certainly on the macro side, you know, maybe we could see be seeing a bottom. We'll see what u know, what are you watching in this market right now. Obviously, given that you and were discussing in the close yesterday that this ma had a lot to prove, know, beyond just this bounce that we'd seen yesterday, particularly because we'd come off such oversold levels on semis. How are you looking at things this morning? Yeah. So this morning we are seeing that broadening trade actually come alive. And what's actually very interesting as tech moves higher you see the broadening trade of the S&P 500 equal weight moving to the downside and vice versa. So it's not a rising tide lifts all boats You actually see the S&P 500 equalt up about 0.7% in the session. As the S&P 500 market cap weighted index is up about, let's say, 0.2%. And we are seeing, obviously communication services and information technology kind of dragging this down. But s buyers are stepping in for infotech. So let's see if we're going to see some, you know, further follow through. But the names that are actually commanding the tape to the upsidehealthcare utilities as well as financials. And last time that I checked, we did have over 70% of the stocks in the S&P 500 in the green. So far. It looks lik's still holding up around 74% in the internals, especially if we're looking at volume, this actually looks like a decent rebound day. Unfortunately technology is just not a part of that, at least for now. That could actually change as we kind of go through go throughout the session, but actually a lot of green on the screen. If you're looking at other sectors out there outside of tech, right? Yes. And whi perhaps speaks to equal weight being up 7/10 right now. So it r average. But I'm just seeing obviously some of the tech names turning positive just over the last few minutes, particularly across some of the memory names, which had obviously been beaten down over the last w well. What are you watching as far as the ma side of the equation? I mean, obviously dollar coming off yields backing off as well here as oil's just ticke lower. But actually when you take a look at we're still 104. So we're above that triple digit mark. So what driving the price action for us this morning. Yeah. So that 104 you're seeing for WTI. That's going to be the November contract that was expiring And it does appear that there might b a trader that didn't get out in time. And now is in a little bit of a liquidity squeeze. So you are seeing that November contract actually disconnecting from some of the other futures here. If you're looking at the December contract, it's trading at around $98.25 right now. Actually reversing it did actually hit around $101 on the session. T is this report coming out of an Iranian backed news agency that is stating that the Iranians have a to allowing some nuclear inspectors to come into the country. That could be a part ofl that it seems like is being worked on for right now, which is why we are seeing crude oil move tohe downside by about 2 to 2 and a half dollar the highs. And also anoeason why you're probably seeing the equal weight S&P 500 movin higher with those interest rate itive ng the tape. And so we never you know, we've seen these type of headlines before, but I think you are seeing the market getting a little bit excited that a deal might be coming through here, which is why we once again are seeing may some buying activity happening across not only just the equity sector, but also if you're kind of looking at trea. Yeah,olutely. I mean, we are seeing certainly the Nasdaq working i way back up to the flat right now. And as I said, as you continue to talk here, KG you've got more semiconductor chip names actually flipping into the g AMD, TSM, micron now. So obviously we're seeing a ba bid here for stocks. Certainly those that were lower earlier this morning. What else are you watchin across. You know the commodities pch across technology. Obviously we've had a big day pretty heavy in terms of industrial earnings this morning. Defense names GM, RTX,E. We'll be talking about a couplethose. But then we throw it ahead to a bunch of tech names later on y. g your eyes on. Obvious earnings for tech are going tone market closed. But I'm looking at these lower beta sect still trying to outperform here. And the S&P 500 equal weight to try to break above the 50 day moving average. And you hav seen maybe some carnage thatdidn the cloud, but maybe some buyers are going to try to step think what's really encouraging, Sam, is that we do see weakness overnight when it comes to KOSPI. I know that you and I were watching that pretty much on a day by day basis, but the overall S&P 500 is still holding up relatively well. s not like a sell everything type of an event, even though we did see some we in certain parts of thisarket. I'm pretty encouraged by that. And then also kind of looking at the crude oil markets, if we're able to kind of sustain around this $100 level, do we start hearing more good n around potential deals and trying to come to a resolution for this matter? I think that probably could beething that kind of jawbones that market to the downside and tries to give equities a little be of a push higher. And then last but not least, the question mark that w is going to be the mag seven names that do report over the next week or so. How does the market respond to them. If you kind of look at the last three quarters, the response for the broader equity market hasn't been that great for a lot of those names. Some of them were able to get off their lows, but we could actually have kind of a, by the rumor, he news event for a couple of these names. And I think that's a bigger risk that e next couple of weeks. Yeah, I certainly think the big qu for the market is whether these e