Welcome to our weekly newsletter where we provide an overview of the main US and UK indices, along with analyses of selected assets that are outperforming the market.
Let’s get into this week’s newsletter!
US & UK INDICES OVERVIEW
S&P 500
It’s been quite a ride for the S&P 500 lately. We’re seeing an impressive run, now up 12.96% year-to-date and inching closer to 13%. September has been particularly strong, adding 2.84% and pushing us to new record highs along the way.
This kind of upward momentum doesn’t just appear out of nowhere. If you cast your mind back to June 2025, you’ll remember the index decisively broke above 2024’s high of $6,099.
That breakout was a real turning point, acting as the catalyst for the sustained climb we’re witnessing today. It’s a textbook reminder of how clearing a previous resistance level can truly unleash pent-up buying pressure.
Now, let’s look at the past week. While it ended with a slight pullback of 0.31%, Friday showed us a different story with a solid 0.59% gain.
We saw a brief correction, with prices dipping near support levels around September 25th, but what’s encouraging is how quickly buyers stepped back in with conviction, pushing the index higher. This resilience is a good sign.
So, what’s next? All eyes are firmly fixed on the current all-time high of $6,699, which we reached on September 23rd, 2025. For me, a decisive break above this level would be a strong confirmation that this bullish trend has more room to run.
From a practical standpoint, the technical setup, combined with the often-favorable seasonal patterns that emerge in September and October, suggests we could well see this steady upward move continue. We want to stay patient and watch those key levels.
Dow Jones
The Dow Jones is climbing steadily, up 8.7% year-to-date. While not matching the S&P’s percentage gains, its 1.54% rise in September shows the index is performing well and reaching new highs.
The Dow broke through its 2024 peak of $45,073 in August. This positive trend continued into September, keeping the index moving upward. The pattern of higher highs and higher lows suggests this bullish momentum could keep going, in line with the overall market’s positive trend.
Nasdaq 100
The Nasdaq is currently the top performer among major indices, up 16.62% year-to-date. September has been exceptional, with the index already gaining 4.65% this month. This significant rise shows renewed excitement for technology stocks.
A key difference is the change in momentum. August’s gains were bullish but lacked strong conviction. This month’s performance, however, shows real strength and size, indicating a meaningful increase in upward momentum. If September finishes strong, it could set the stage for further gains. Both seasonal patterns and technical indicators suggest this upward trend has more room to run.
FTSE 100:
The UK’s benchmark index has performed well this year, with a year-to-date return of 13.6%. So far, September has added another 1.6% to those gains, suggesting growing positive momentum.
However, the index has been struggling to move higher. Since mid-August, it has been trading sideways, finding it difficult to break above a key resistance level. Although it gained 0.74% last week, and Friday saw a strong push, the price has yet to overcome the all-time high of 9,357 set in August.
Currently, the index is trading in a clear range. Support is at 9,107, a level established in early September. As long as the price stays above this support and eventually breaks through the overhead resistance, the bullish trend is likely to continue. Given the strong upward move that happened before this sideways period, a breakout to the upside seems more probable.
PERFORMANCE REVIEW
General Dynamics (GD)
General Dynamics is performing well this year, with its stock up 25.37% year-to-date and an additional 1.78% in September. This isn’t new for the defense contractor, which saw its stock price surge 176% between September 2011 and August 2015.
The stock began to climb after it broke its 2024 high of $316 in August. This breakout wasn’t immediate. The stock briefly passed this level in late July before pulling back, then made another attempt in mid-August. Since then, it has consistently hit new record highs.
On Friday, the stock gained 1.82%, confirming a breakout above its previous high. While the stock isn’t climbing as rapidly as it has in the past, it is forming a pattern of higher highs and higher lows. This slow and steady climb is a positive sign, and if more buyers step in, it could lead to a stronger upward trend over the next several months.
OUTPERFORMING ASSET FOR THE WATCHLIST
Take-Two Interactive Software. (TTWO)
Take-Two has had a strong performance in 2025, with its stock up 39.14% year-to-date, including a solid 9.8% gain in September. Known for its volatility, the gaming software company saw a massive 338% rally between July 2015 and February 2018, followed by years of uneven performance.
Now, the stock seems to be gaining momentum again. After a pullback that tested support around $244, it bounced back sharply on Friday with a 4.49% gain. This rally was significant, breaking and closing above a previous high, which signals a continuation of the upward trend.
The daily chart highlights the stock’s usual volatility, but the recent rebound from support and subsequent breakout are positive signs. If Take-Two can maintain a pattern of higher highs and higher lows, it could signal the start of a more sustained bullish run, similar to its stronger trending periods in the past.
Looking Ahead
Sixty percent of U.S. stocks are currently trading above their 200-day moving average, unchanged from last week. The Dow Jones, S&P, and Nasdaq are at record highs, and market activity continues to pick up this month.
Keep it simple. Keep it Sublime.
The ST Team
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