The markets have been enjoying some gains in the first part of the week as tech stocks helped pull the markets back after last week's declines. The S&P 500 (NYSE: SPY) is higher by a fraction of a percent so far this week. Investors are particularly focused on the stocks that are directly impacted by Hurricane Florence, which is due to hit the South Carolina / North Carolina coast soon.
The Nasdaq 100 (NASDAQ: QQQ) enjoyed stronger gains in the first part of the week thanks to a rebound in all of the FANG names. Technical traders believe the support area that the Nasdaq 100 found itself on is the main reason for the new round of buyers. Apple (NASDAQ: AAPL) will direct the tech stocks over the coming days as their product announcement will certainly move the sector.
Oil (NYSE: USO) has been a prime media topic this week so far as Hurricane Florence makes its way towards the US. As is typical during these hurricanes, the price of gasoline rose, along with many energy names. There is also the underlying sanctions on IRAN which, for the moment, have caused a decline in global supply, not an increase. The US was hoping that other nations would up their production, but so far that hasn't happened.
Consumer discretionary (NYSE: XLY) continues to perform well thanks to strong US consumers. The sector, which has been the best-performing sector of the year so far, continues to add to its 18% gains year-to-date. Technical traders note the strong and steady uptrend, which remains intact for now.
Lastly, we have the retail sector (NYSE: XRT), which continues its move higher this week as well. Tax reform has helped the sector for the previous quarter, and many are eyeing consumer data showing the holiday season should be a strong one. With a small gain on the week already, it seems that investors feel the same way.