Monday's Market Recap - Caution Ahead Of Trump Summit With North Korea, In Singapore Tonight.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are mostly subdued at this hour. Dow futures up 9 points, Nasdaq futures down 4.25 points, S&P down 1.25 points. No doubt, investors are being cautious, after the chaotic end of yesterday's G7 Summit, yesterday in Canada, where President Trump refused to sign the final communique, left the meeting early, on route for Singapore, to meet with North Korea's dictator, Kim Jong Un.
The President attacked Canadian Prime Minister, Trudeau, as being weak, after the prime minister stated he is prepared to retaliate against US tariffs, adding that Canada will not be pushed around.
The Fed/FOMC holds begins it June meeting tomorrow, and will announce its decision on interest rates on Wednesday.
On the Bond Desk:
The US 10 Year Bond Yield at 2.94%
Currency Desk:
Euro dollar: 1.17
UK Pound: 1.33
Crude Oil:
WTI crude oil futures at $64.93/barrel, down 1.23%.
On the Earnings Calendar:
None
In M&A News:
The court is expected to rule tomorrow on the AT&T Time Warner deal.
What About The Asian And European Markets?
Major Asian markets closed mixed overnight. Japan (Nikkei 225) rose 0.48%, Shanghai fell 0.47%, Hong Kong (Hang Seng) 0.34%
Major European markets close their session with gains. German (DAX) up 0.60%, France CAC rose 0.43%, London FTSE 100 was up 0.73%.
Market And Sector Dynamics
US markets opened moderately higher, with the Dow up 32 points, Nasdaq gained 6 points, and the S&P added 2 points. Crude oil is lower early in the session.
Investors have a number of issues to contemplate. First, the US refused to sign the G7 communique in Canada, leaving our allies up in the air, making potential trade sanctions, and retaliation by our allies, a real possibility.
The Fed/FOMC begins its June meeting tomorrow, and another twenty five basis points rate hike is expected.
After an indecisive morning session, stocks turned higher, just before noon, remained comfortably higher for most of the afternoon session, before losing most of those gains just before the close.
Seven of the eleven S&P sectors closed the session with modest gains, led by consumer staples, telecommunication services, energy, consumer discretionary, and industrials.
Factors Influencing Today's Market
Crude oil was modestly higher in today's trading. WTI crude oil price closed the day at $66.14/barrel, up 0.92%.
President Trump's meeting with North Korea's leader, Kim Jong Un on Tuesday in Singapore.
The courts decision on the AT&T Time Warner deal is expected tomorrow.
The Fed/FOMC begins its June meeting tomorrow. A hike in interest rates is expected to be announced on Wednesday.
A chaotic ending to the G7 summit in Canada, leaves out allies in a state of flux.
Market Close Volume Traded And Advance Decline Ratio
At the close of trading, stocks were modestly higher. The Dow was up 5.78 points, Nasdaq added 14.41 points, 2.97 points. Total NYSE volume traded, a light 3.20 billion shares. Advancing shares outpaced Declining shares by 1.23:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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