The Dividend Cafe - The Dividend Cafe Thursday - May 9, 2024

Episode Date: May 9, 2024

Links mentioned in this episode: DividendCafe.com TheBahnsenGroup.com

Welcome to the Dividend Cafe, weekly market commentary focused on dividends in your portfolio and dividends in your understanding of economic life. Hello and welcome to the daily recap of the Dividend Cafe. You had a rally day in the market today with the Dow up 331 points, almost 1%. The S&P was up half of a percent and the NASDAQ up a quarter of a percent. Ironically, you had every sector in the green except for technology and technology was only down a quarter of a point, but you had real estate up 2.3% utilities at one and a half and energy almost at one and a half. So a strong day for some of the defensives and dividend oriented sectors. And it was actually technology and the NASDAQ that kind of lagged a little bit. The 10 year bond yield did drop 2.8 basis points on the day down to 4.45%. And a lot of the

rally picked up throughout the day. It was sort of a second half of the day type of rally. So some of the theories that the market was responding today to a little worse than expected weekly jobless claims number, it isn't a totally coherent theory to me. That doesn't mean it's impossible. The idea being, oh, the fact that we kind of had our first difficult weekly jobless claims in a while today, and that may have increased confidence in the Fed cutting rates sooner than later. Those theories are always fine. There's most certainly a lot of people that are looking for that kind of reductionist simplicity. But the problem with that theory is that the weekly jobless claims came out an hour before the market opened, and a good portion of the market rally today really didn't take place until the second half of the day.

The full first hour, almost hour and a half, took its time getting up. And then it kind of went flat for a number of hours. And then it had a whole second rally in the final, let's call it, hour, two hours of trading. So I don't know that there's an easy explanation. Whatever the case, a really big rally has continued in the month of May after what was a sell-off in the month of April. Oil prices today, not a huge move, still kind of sitting below the $80 level, but getting very close back to 80 and up almost 1% on the day. So besides the jobless claims, that was really the major takeaways of the day.

We will encourage you to go to DividendCafe.com for a couple of different Ask TBG questions that have come in. And we will be in the Dividend Cafe tomorrow where I have a very special Friday Dividend Cafe planned. Thanks so much for listening. Have a wonderful evening and send your questions to questions at thebonsongroup.com anytime. Thanks for listening to the Daily Recap of the Dividend Cafe. The Bonson Group is a group of investment professionals registered with Hightower Securities LLC, member FINRA and SIPC, with Hightower Advisors LLC, a registered investment advisor with the SEC. Securities are offered through Hightower Securities LLC, Thank you. general market commentary and does not constitute investment advice. The bonds to group and Hightower shall not in any way be liable for claims and make no expressed or implied representations or warranties as to the accuracy or completeness of the data and other information or for statements

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