Skip to content

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Wall Street: US markets surge with fourth consecutive weekly gains and inflation focus

US equity markets rally, Core PCE insights awaited. Investors brace impact.

Video poster image

In a holiday-shortened week, US equity markets locked in a fourth week of gains. The Dow Jones added 442 points (+1.27%), the S&P 500 gained 1%, and the Nasdaq gained 0.91% for the week. Wall Street’s measure of fear, the VIX, closed at 12.45%, its lowest close since January 2020.

In economic news, the not-too-hot, not-too-cold run of data continued Friday night as the US Composite Flash PMI for November printed unchanged at 50.7. Within the details, the Manufacturing PMI surprised to the downside at 49.4 vs 49.8 that was expected, while the Services PMI at 50.8 was stronger than the 50.4 expected.

In light of recent rapid market activity, a slight pullback in US equity indices would not be unexpected. Timing-wise, the end of this month, into early December, looks to be a possible window for a pullback to rebuild energy and to set up for the end-of-year finale.

This week's key economic data

This week, a pivotal economic event in the US is the unveiling of the Fed's favoured inflation metric, Core PCE, scheduled for Friday morning, which may influence the expected timing of the Fed's first “adjustment” cut.

What is expected from Friday's Core PCE inflation data?

The consensus expectation is for Core PCE to increase by 0.2% in October, which would see the annual rate ease to 3.5% from 3.7%, the lowest rate since April 2021.

Headline PCE is expected to rise by 0.1% in October, allowing the annual rate to moderate to 3.1% from 3.4%, on track to fall to 2.5% in the months ahead.

S&P 500 technical analysis

Last week, the rally from the October 4122 low, traded to a high of 4580.50, a gain of over 11% in just 18 trading sessions. Although we remain bullish into year end, we would not contemplate opening fresh longs at these elevated levels.

Instead, we would prefer to use dips back towards support at 4450/30 in anticipation of a retest and break of the July 4634.50 high. Above here is blue sky towards the November 2021, 4740.50 high, followed by the January 2022, 4808 high.

Aware that a sustained break below the support of the 200-day moving average at 4300 would warn that the rally has run its course and that a deeper pullback is underway.

S&P 500 daily chart

Source: TradingView

Nasdaq technical analysis

Last week, the rally from the October 14,140 low traded to a fresh cycle high of 16,173, a gain of over 14% in just 19 trading sessions. A move in line with our expectations - however, the “easy money” in the Nasdaq has now been taken off the table.

Although we remain bullish into year end, we would not contemplate opening fresh longs at these elevated levels. Instead, we would prefer to use dips back towards support at 15,700/450 in anticipation of a push towards 16,400/500 in the weeks ahead.

Aware that should the Nasdaq see a sustained break of support at 15,450, it would warn that the rally has run its course and that a deeper pullback is underway towards the 200-day moving average at 14,400.

Nasdaq daily chart

Source: TradingView
  • Source Tradingview. The figures stated are as of 27 November 2023. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation.

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Start trading forex today

Find opportunity on the world’s most-traded – and most-volatile – financial market.

  • Trade spreads from just 0.6 points on EUR/USD
  • Analyse with clear, fast charts
  • Speculate wherever you are with our intuitive mobile apps

See an FX opportunity?

Try a risk-free trade in your demo account, and see whether you’re onto something.

  • Log in to your demo
  • Take your position
  • See whether your hunch pays off

See an FX opportunity?

Don’t miss your chance – upgrade to a live account to take advantage.

  • Get spreads from just 0.6 points on popular pairs
  • Analyse and deal seamlessly on fast, intuitive charts
  • See and react to breaking news in-platform

See an FX opportunity?

Don’t miss your chance. Log in to take your position.

Live prices on most popular markets

  • Equities
  • Indices
  • Forex
  • Commodities
website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.

" >


Prices above are subject to our website terms and agreements. Prices are indicative only. All share prices are delayed by at least 15 minutes.

Prices above are subject to our website terms and agreements. Prices are indicative only. All shares prices are delayed by at least 15 mins.

Plan your trading week

Get the week’s market-moving news sent directly to your inbox every Sunday. The Week Ahead gives you a full calendar of upcoming economic events, as well as commentary from our expert analysts on the key markets to watch.


For more info on how we might use your data, see our privacy notice and access policy and privacy webpage.

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of spread betting and CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.