Stocks Extend Winning Streak To Three Months In A Row

Stocks closed modestly lower on Friday, but up strongly for the week.

The major indexes are now up 3 months in a row.

The Nasdaq recorded its best November performance since 2005.

And YTD, the Dow is up 20.1%, the S&P is up 25.3%, and the Nasdaq is up 30.6%. And there's still another month to go.

Optimism remains high over a U.S.-China trade deal.

While China voiced their displeasure with the U.S. after Congress almost unanimously passed, and President Trump signed into law, the Hong Kong Human Rights and Democracy Act, which would require an annual review of Hong Kong to determine if China is interfering in their governance, and sanction officials who commit human rights violations, a Chinese Commerce Ministry official dismissed the idea that trade talks would suffer because of it.

China has previously threatened to retaliate if it passed. And now that it has, they have reiterated that threat.

Obviously, some worry that it could negatively impact the ongoing trade negotiations. But it seems pretty clear that both countries want a deal. So the phase one trade agreement appears to still be on track.

Traders are also looking forward to reports that the House could bring the USMCA trade deal to the floor this week. Given its strong bipartisan support, it's expected to easily pass the House, and then sail through the Senate.

We should soon get some numbers on how Black Friday/weekend holiday shopping fared, as well as Cyber Monday. Early reports on Friday showed many malls and retail locations experiencing light traffic. Many are chalking it up to the ever-increasing number of people choosing to do their shopping online. Not to mention the fact that many are just no longer interested in the hassle of fighting expected crowds with such convenient alternatives at their disposal.

But with such a strong economy and strong consumer, many are expecting a strong holiday shopping season.

And a strong end-of-year rally for the market.

See you tomorrow,

Kevin Matras

Executive Vice President, Zacks Investment Research

Sponsor

Today, See Zacks' Top Stocks for Free

Starting now, you can get instant access to the latest picks from our hottest market-beating strategies. From 2017 through Q3 2019 they gained +51.8%, +57.5%, +96.9%, +119.0% and even +158.9%.

Zacks will also give you a free Special Report, Top 10 Stock Screening Strategies with formulas you can use to find high-potential gainers anytime you please.

See Stocks Free >>

Black Friday Vs. Cyber Monday

Which stocks will benefit from the evolving holiday shopping season? Read More »

Home Furnishing Outlook Bright on Solid Housing Market

While intense competition and higher costs pose risks, the improving housing market, focus on digitization, product innovation and new marketing techniques are raising hopes. Read More »

5 Defense Stocks to Buy on Upbeat Durable Goods Orders

These companies come with a strong foothold in the global defense market and have solid long-term prospects. Read More »

Facebook to Buy Beat Games, Ups Ante in VR Gaming Space

The social media company recently announced that it is acquiring the developer of the popular VR rhythm game Beat Saber. Read More »

U.S. to Become Net Oil Exporter in 2020: Shale Drillers to Gain

Analysts anticipate the U.S. to be among the few exporting countries to primarily contribute additional crude volumes to the global energy market. Read More »

Sponsor

Start Every Day Ahead of Wall Street

Before you make a trade, get today's market news from Zacks' latest Ahead of Wall Street article. With timely information from Zacks' analysts, each daily article features a preview of where the market is headed. Plus, Zacks #1s on the move, stock research reports, earnings and economic news, and a top-headline analyst blog. All of it in one easy-to-follow place to give you the edge.

Get the latest news >>

Bull of the Day: Qualys (QLYS)

This cloud security stock is seeing major growth. Read More »

New Zacks Strong Buys for December 2nd

Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. Read More »