Schwab Trading Activity Index climbs in November, staying in ‘moderate low’ range
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Luis Alvarez
The Schwab Trading Activity Index (“STAX”) rose to 49.22 in for the five-week period ended Nov. 29, 2024, from 48.37 in October, a “moderate low’ reading compared with historic averages, Charles Schwab said Monday.
“In November, as the outcome of the U.S. election came swiftly into view and the Fed announced another interest rate cut, more clients were net buyers of equities than net sellers. However, we continued to see big rotations,” said Joe Mazzola, head trading & derivatives strategist at Charles Schwab (SCHW).
On a dollar basis, though, Schwab clients were net sellers of equities as they continued to buy ETFs, mutual funds, treasuries, and other fixed income securities, he noted.
“As we continue into December, investors may weigh their holiday and end-of-year spending, consider 2024 tax deadlines, and anticipate a likely continuation of rate cuts from the Fed,” Mazzola said.
All three major U.S. stock indices reached new all-time highs once again during the November STAX period. Another notable point is the breadth of the rally, as most stocks in the major indices held prices above their 200-day moving average, Schwab said.
Popular names bought by Schwab clients during November included:
- Nvidia (NASDAQ:NVDA)
- Palantir Technologes (NASDAQ:PLTR)
- Advanced Micro Devices (NASDAQ:AMD)
- Super Micro Computer (NASDAQ:SMCI)
- MicroStrategy (NASDAQ:MSTR)
Names net sold by Schwab clients were: