Stocks rebound, housing market tips: Market Domination Overtime

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Paul Hickey,Julie Hyman,Josh Lipton

In today's episode of Market Domination Overtime, hosts Josh Lipton and Julie Hyman dive into the most prominent dynamics leading stocks and the US housing...

Zillow senior economist Orphe Divounguy joinsWe're joined by Jared Blick to get you up to speed on the action from today's session.We had a little late day coming down off the highs for the major averages.So cutting some of its gains but still higher on the day, the NASDAQ up by 6/10 of 1% here.

And if we take a look at some of the leaders here, we can see for the day Solar was a big performer followed by disruptive small tech, that's the Arc Fund that you're looking at there, Arc Innovation Fund and then home builders after yesterday. Uh But, you know, just when they got back all within, close to new highs, uh you got a day like Thursday and I think what part of this was was we highlighted this earlier in the week, the S and P 500 equal weight index had underperformed the S and P 500 over the last six months by one of the widest margins on record.

But uh you know, it's, it's something to, to look for and, and we think longer term uh that you're better served in, in some of the smaller names within the S and P 500 or within the market overall in small camps.And it's good to see you, you know, it gets stressed, it comes back or does it like sort of do like a binging effect?

It was uh you were looking at the 87 crash, you were looking at uh the COVID lows and you were looking at October 2008. And as you said, it's puzzling that it's low while all of this is also going on in the market in terms of this uh re rotation.You know, there's the options market has changed a lot over the years.I think there's other people you that would have much better answers than me.But what I would say is I would ex you between now and the end of the year expect to see volatility move higher.

But what we, what we track coming into earnings season is what are analysts doing, uh, in terms of the estimates on the companies they cover in the weeks leading up to earnings season. So, uh, that's something to look forward to, uh, and be encouraged about during, in this earnings season and that's applicable to the broad market and not just a handful of names.Thanks President Biden trying to direct attention to his economic record in last night's news conference.It's going to cause inflation, things are going to skyrocket.

But he, but when you do it consistently, you're 81 years old and it comes after, you know, it's not just the blunders, it's, it's, it's the terrible performance he put on during the June 27th debate.Uh, and as much as he wants people to listen to what he says about the economy, I, I think there's nobody who watched that press conference yesterday and their number 12 or three takeaway was, oh, the Biden economy is doing pretty well.

She said it's up to Joe, but he's already made, you know, basically saying Joe, think harder, you know, go back inside, close the door and think it over again and come back and tell us what you decided. And so, uh potential home buyers are basically seeing mortgage rates easing and that could be helpful for the housing market going forward.Uh And those are positive signs uh ahead, we keep hearing about all these positive signs or feet.

But, uh, but with more inventory, right, uh, that we had a year ago, I expect 2025 to be, uh, an even better year, uh, than we've had in the last couple of years or let's say I was looking to move. Uh in places like Austin in Texas and Florida, you have uh the pendulum is swinging in favor of buyers.Starting off on the earnings runs, earnings season is in full swing.

 

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