Friday's Market Recap - Like Facebook, Twitter Disappoints Investors. Stocks Tank In The Session
What is The Premarket Telling Us?
7:00 AM.
Stock futures are modestly elevated two and a half hours ahead of the opening bell. Dow futures are up 28 points, Nasdaq up 19 points, and S&P up 2.25 points. Twitter reported Q2 earning performance this morning. The company beat both on the top and bottom line, but lost 1 million monthly users, as the company work on cleaning up the platform. Like Facebook, share of the company are tanking in the premarket.
On The Bond Desk:
The US 10 Year Bond Yield at 2.96%.
Currency Desk:
Euro dollar: 1.16
UK Pound: 1.30
Crude Oil:
WTI crude oil futures lower at $69.55/barrel, down 0.09%.
On the Earnings Calendar:
Amazon reported strong Q2 Earnings after the bell yesterday evening.
TWTR Q2 Earning disappointed investors. The company beat earnings and revenue expectations, but Monthly Active Users (MAUs) fell 1 million.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets were mixed overnight. Japan (Nikkei 225) added 0.56%, Shanghai fell 0.30%, Hong Kong (Hang Seng) added 0.08%.
Major European markets were higher for a second day. German (DAX) up 0.40%, France CAC 40 gained 0.57%, London FTSE 100 up 0.50%
Market And Sector Dynamics
Stocks opened today's session mixed, with the Dow down 7 points, Nasdaq up 38 points, and the S&P up 5 points. Strong earning from Amazon is a positive catalyst for markets early, counterbalancing disappointing performance from Twitter.
Stocks trended lower in the morning session, even as the Nasdaq, which was solidly higher early, failed to hold on to its gains. By the afternoon, all the indices went south, as investors worry whether technology stocks will continue to lead markets, in light of the disappointing results from Facebook, Netflix, and Twitter.
Seven of the eleven S&P sectors ended the day with moderate losses, led by technology, real estate, healthcare, energy, utilities, and consumer discretionary. Telecommunications services and financials were traded higher.
Factors Influencing Today's Market
Strong quarterly earning from Amazon was a positive for markets.
Disappointing quarterly earnings from Twitter. Shares of the company fell more than 20% in the session.
Crude oil traded moderately lower in the session. WTI crude oil closed at $68.69/barrel, down 1.32%.
This week's Baker Hughes US Oil Rig count increase by 3 rigs to 861.
Major Asian markets were mixed, while European markets were higher.
Market Close Volume Traded And Advance Decline Ratio
At the close of trading, stocks were all lower. The Dow lost 76.01 points, Nasdaq lost 114.77 points, and S&P lost 18.62 points. Total NYSE volume traded, 3.38 billion shares. Declining shares outpaced Advancing shares just better than 2:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
Comments