Monday's Market Recap - Dow Surged 400 Points Higher, But Pulled Back In Late Afternoon.
What is The Premarket Telling Us?
8:00 AM.
US stock index futures are looking solidly positive this morning, before the start of trading. Indicating were could see a rebound from Friday's 500 plus points sell off. Asian markets closed higher overnight. Markets sold off on Friday after the President threaten tariffs, an additional $100 Billion on Chinese goods, escalating the threat of a trade war with China.
On The Bond Desk:
The US 10 Year Bond Yield at 2.78%
Currency Desk:
Euro dollar: 1.22
UK Pound: 1.41
Crude Oil:
WTI crude oil futures are pointing higher at $62.54/barrel, up 0.77%.
On the Earnings Calendar:
First Quarter earnings season this week, with some major banks reporting later this week.
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets ended with moderate gains. Japan (Nikkei 225) up 0.51%, Shanghai up 0.23%, Hong Kong (Hang Seng) up 1.29%.
Major European markets were modestly higher. German (DAX) up 0.17%, France CAC 40 rose 0.10%, London FTSE 100 added 0.15%
Market And Sector Dynamics
Markets opened the trading day higher, with the Dow surging 212 points, Nasdaq up 58 points, and the S&P rose 15 points. Technology and financial share led the way early. Investors are having great difficulty, assessing the possibility of a trade war with China. The market in recent days, seems always, 'one Presidential tweet' away from a decline of 500 points.
Stocks continued to surge intra-day with the Dow reaching a high of 440 points around mid-afternoon. Unfortunately, stock began to steadily sell off, a short while later, after news that the FBI had carried out a raid on the offices of Michael Cohen, the president's personal lawyer. The sell off continued into the close.
Six of the eleven S&P sectors closed the session with moderate gains, led by healthcare, technology, basic materials, financials, and energy. Telecommunications services, and consumer goods were today's laggards.
Factors Influencing Today's Market
Reduced tensions surrounding a trade war with China, was a positive for markets today.
Crude oil traded higher in the session. WTI crude oil closed $63.27/barrel, up 1.79%.
Asian and European markets ended their sessions with gains.
The reported afternoon raid on the offices of Michael Cohen, the President's personal attorney.
Facebook CEO, Mark Zuckerberg was on Capitol Hill today meeting with Senators. He will testify on the hill tomorrow, and Wednesday.
Market Close Volume Traded And Advance Decline Ratio
At the close of trading markets were moderately higher, well of the highs of the day. The Dow gained 46.34 points, Nasdaq rose 35.23 points, and the S&P added 8.69 points. Total NYSE volume traded, a light 2.83 billion shares. Advancing and Declining shares were even.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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