Debt Deal Approved, S&P 500 Futures Steady
01 Jun 2023
After the House adopts the debt package, the S&P 500 futures are little modified to begin trading in June.
After the U.S. House approved a bill to raise the country’s debt ceiling, an essential step in preventing a default, the measure now moves to the Senate, although S&P 500 futures showed no movement on Thursday.
Bipartisan backing helped the Fiscal Responsibility Act pass by a margin of 314 to 117. Senate Majority Leader Chuck Schumer, a Democrat from New York, expressed his hope that “we can move the bill quickly here in the Senate and bring it to the president’s desk as soon as possible.”
On Wall Street, anxiety about a potential U.S. debt default persisted throughout May, which ended on Wednesday. Additionally, the last month saw a sharp increase in the value of stocks tied to artificial intelligence.
Investors are anticipating the Federal Reserve’s policy meeting on June 13–14 as another potential market driver in addition to the fight over the debt ceiling. Patrick Harker, president of the Philadelphia Federal Reserve, stated on Wednesday that he is considering forgoing a rate hike at the upcoming meeting. He said that the Friday payroll report might make him reconsider.
Gains outside of technology, however, were scarce. The S&P 500 grew by a slender 0.3% throughout the month.
The S&P 500’s technology sector finished the month strongly, rising 9.29% in May as semiconductor stocks increased.
S&P 500 TECHNICAL ANALYSIS DAILY CHART:
S&P 500 is currently trading in the up channel.
S&P 500 is currently trading above 20&50 SMA.
RSI is in buying zone which suggests bullishness and Stochastic is suggesting a downtrend.
Immediate resistance is at 4215.62 & its immediate support level is 4190.37
HOW TO S&P 500 IN THIS WEEK
S&P is trading at a support zone and moving in an upward channel. If this level is breached, we may anticipate the price going downward. However, attempts to move upside have been repeatedly met with resistance at the same level in recent days.