S&P 500 is still struggling below a ‘stubborn' resistance level

CNBC

09-05-2025

Not even signs of progress on the trade front could lift stocks above a key level that chart watchers are focused on. The S & P 500 ended Thursday at roughly 5,664. While that reflected a 0.6% advance for the day, it was well off the benchmark's session high of 5,720. In fact, the index sold off into the close — tumbling from about 5,709 just before 3:30 p.m. ET. "Not the ideal close, as ~5700 resistance is proving to be quite stubborn since the S & P first took it out 2-months ago," wrote Wolfe Research technical strategist Rob Ginsberg. A close above 5,700 would have been the first since late March, before President Donald Trump's April 2 tariff announcement. Ginsberg also noted that the S & P 500 fell short of its 200-day moving average, currently 5,748. "Ebullience on the U.K. trade deal gave way to a late day fade as the market once again closed below its 200-day moving average," Ginsberg said. "While many would argue [that's] an arbitrary number, the moving average has done a sound job over the years in helping to identify the market's underlying trend, and spending all but two days beneath it over the past two months speaks to the tape's longer-term deterioration." Indeed, the S & P 500 last closed above its 200-day average on March 25, when it ended the day at about 5,777. Bottom line: If the market can't make a meaningful break above 5,700 and retest its 200-day moving average, the bounce from the April lows could be short lived. Elsewhere Friday morning on Wall Street, UBS raised its price target on Boeing to $226, implying about 18% upside. The bank cited the aerospace company's ability to navigate a tough tariff landscape. "Boeing has taken a proactive approach to addressing tariff risk, communicating that they will prioritize supply chain continuity over price negotiations / changing production schedules and quantifying the direct cost impact as < $500mn annually (full reciprocals, net of duty drawbacks)," UBS wrote.