Wednesday's Market Recap - Dow Up On Softer August PPI, And Attempts To Revive US - China Talks.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are flat to modestly higher in the premarket. Dow futures up 9 points, Nasdaq futures up 13.75 points, and the S&P futures up 1 point. The focus will be on Apple today, as the company is expected to release its new iPhones at the special product launch this afternoon, in Cupertino California.
The US is on hurricane watch as category 4, Hurricane Florence barrels towards the Carolina coast
August PPI came in a much softer than expected 0.1% vs 0.2% estimated.
On The Bond Desk:
The US 10 Year Bond Yield 2.98%, up 0.04 (or four basis points).
Currency Desk:
Euro dollar: 1.15
UK Pound: 1.30
Crude Oil:
WTI crude oil futures $69.77/barrel, up 0.75%.
On the Earnings Calendar:
None
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets. Japan fell overnight. Japan (Nikkei 225) down 0.27%, Shanghai down 0.33%, Hong Kong (Hang Seng) fell 0.29%.
Major European markets closed the day with gains. German (DAX) gained 0.52%, France CAC 40 rose 0.92%, London FTSE 100 gained 0.55%.
Market And Sector Dynamics
Stocks opened the trading mixed, with the Dow adding 20 points, Nasdaq down 19 points, and the S&P down 2 points. Stock gave up the modest shortly after the open, as investors continue to worry about inflation expectation and the Fed, as well as escalating US - China trade war. WTI crude price rose early in the session, currently at $70.21/barrel, up 1.39%.
A softer than expected August PPI, and a report that the US had contacted China to revive trade talks, spawned a market turnaround at 11:00 AM, pushing the markets higher. By noon, the Dow was up 175 points, led primarily by consumer staples, and telecommunication services.
Shares of Apple were under pressure, despite the company's release of its new iPhone products yesterday.
Stocks pulled back from those highs late in the afternoon session, but managed to hold on to some of those gains into the close.
Eight of the eleven S&P sectors closed the session with gains, led by telecommunication services, consumer staples, healthcare, energy, industrials, and consumer discretionary.
Factors Influencing Today's Market
A softer than expected August PPI, cooled inflation fears, at least for today.
Crude oil prices rose in today's session. WTI crude price closed at $70.37/barrel, up 1.62%, partially due to hurricane Florence.
Apple released three new iphones at it product launch event in Cupertino today.
Asian markets fell in their sessions, while European markets closed with gains.
Market Close Volume Traded And Advance Decline Ratio
At the end of the session, markets were mixed. The Dow gained 27.86 points, Nasdaq fell 18.25 points, and the S&P added 1.03 point. Total NYSE volume traded, a moderate 3.30 billion shares. Advancing shares outpaced Declining shares 1.26:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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