Wednesday's Market Recap - Stocks Gave Up Solid Intra-day Gains To Close Triple Digits Lower.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are all in negative territory at this hour. The Dow futures down 117 points, Nasdaq futures down 50.50 points, and the S&P futures down 9.75 points. Asian markets closed with losses overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 2.88%.
Currency Desk:
Euro dollar: 1.16
UK Pound: 1.32
Crude Oil:
WTI crude oil futures at $71.13/barrel, up 0.85%.
On the Earnings Calendar:
None
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets were all negative today. Japan (Nikkei 225) fell 0.31%, Shanghai down 1.29%, Hong Kong (Hang Seng) down 1.82%.
Major European markets closed higher. German (DAX) rose 0.93%, France CAC 40 up 0.87%, London FTSE 100 gained 1.11%.
Market And Sector Dynamics
US stocks rose at the open this morning, primarily on news that the administration would employ a new more robust security review to deal with threats from Chinese investments in technologies of US companies. Some investors saw this as a less harsh attempt by the administration, to address the trade issues with China.
Stocks remained solidly higher in the morning session, with the Dow reaching a high of 280 points, one hour after the open. Stocks reversed course early in the afternoon session, as investors soured on the administration's capability handling of the China trade situation, and decided to take some chips off the table.
Seven of the eleven S&P sectors closed with losses for the day. Technology, consumer discretionary, financials, healthcare, and industrials bore the brunt of the losses. Energy and utilities were the winners on the upside.
Factors Influencing Today's Market
Trade tensions with China continues to be a problem for investors.
Crude oil prices jumped higher again today. WTI crude oil prices closed at $72.49/barrel, up 2.78%.
This week's EIA Petroleum Status Report fell 9.9 millions barrels vs 5.9 million barrels, drastic draw down from last week.
Pending Home Sales for May fell 0.5%, the low end of the consensus range.
Asian markets fell today, while European markets were convincingly higher.
Market Close Volume Traded And Advance Decline Ratio
When the markets closed, the major indices were in negative territory. The Dow sank 165.52 points, Nasdaq fell 116.54 points, and the S&P lost 23.43 points. Total NYSE volume traded, a moderate 3.71 billion shares. Declining shares outpaced Advancing shares by 2.50:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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