Technicals still lean bullish. U.S. stocks are slightly higher this morning amid trade headlines, but the S&P 500 Index is still poised for its first weekly loss since early October. We have yet to see a concerning breakdown in technicals, as it looks like stocks are simply consolidating strong gains from the past several weeks. However, we could see more volatility as investors digest a continuing batch of trade headlines in a quiet period for economic data. On pullbacks, we see strong technical support at 3,030 (2% below the November 21 close) and 2,950 (5% below the November 21 close).

Signs of domestic stabilization. The Conference Board’s Leading Economic Index (LEI) rose 0.3% year over year in October, tying June 2016 for the slowest growth of the expansion. Even though the gauge barely eked out a year-over-year gain last month, we see signs of stabilizing growth in domestic leading indicators. We’ll dig into the October LEI data more today on the LPL Research blog.

Signs of global stabilization. Markit’s Germany Purchasing Managers’ Index (PMI) jumped the most in two years this month, according to preliminary November data. Business confidence increased, according to the Markit report, as expectations for future output climbed. Markit’s Eurozone PMI also picked up substantially, thanks to improving sentiment. While both PMIs are still squarely contractionary territory (below 50), global manufacturing continues to show signs of stabilization.

^{IMPORTANT DISCLOSURES}

^{The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. The economic forecasts set forth in this material may not develop as predicted.}

^{All company names noted herein are for educational purposes only and not an indication of trading intent or a solicitation of their products or services. LPL Financial doesn’t provide research on individual equities.}

^{All indexes are unmanaged and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges, Index performance is not indicative of the performance of any investment.}

^{Because of their narrow focus, sector investing will be subject to greater volatility than investing more broadly across many sectors and companies.}

^{Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.}

^{All performance referenced is historical and is no guarantee of future results.}

^{This research material has been prepared by LPL Financial LLC.}

^{Securities and advisory services offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC).}

^{Insurance products are offered through LPL or its licensed affiliates. To the extent you are receiving investment advice from a separately registered independent investment advisor, please note that LPL is not an affiliate of and makes no representation with respect to such entity.}

^{Not FDIC or NCUA/NCUSIF Insured | No Bank or Credit Union Guarantee | May Lose Value | Not Guaranteed by Any Government Agency | Not a Bank/Credit Union Deposit}

^{If your advisor is located at a bank or credit union, please note that the bank/credit union is not registered as a broker-dealer or investment advisor. Registered representatives of LPL may also be employees of the bank/credit union. These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliates of, the bank/credit union. Securities and insurance offered through LPL or its affiliates are:}

^{Member FINRA/SIPC}