The Philadelphia Fed’s business survey has injected a dose of optimism into the market, suggesting a potential manufacturing renaissance. The survey's index saw a dramatic rise, indicating broad-based strength across new orders, employment, and forward expectations. This has led to increased focus on cyclical stocks, which are poised to benefit from economic upswings. However, some analysts remain cautious, attributing the spike to companies rushing orders ahead of potential tariffs and the lingering effects of "election euphoria." The market is also considering the potential impact of anticipated deregulation and government support for the manufacturing sector, alongside the Federal Reserve's recent monetary easing.
The ProShares Ultra S&P500 (SSO) experienced a slight decline, with its price down 0.08% to $94.27 as of 10:20 AM on Thursday, January 16.