Tuesday's Market Recap - Investors Shook Off US China Worries And Surged Higher.
What is The Premarket Telling Us?
7:00 PM.
US stock futures are modestly up this morning. Dow futures up 21 points, Nasdaq futures up 14 points, and S&P futures up 1.25 points, indicating that markets will be flat at the open.
On The Bond Desk:
The US 10 Year Bond Yield at 3.0%, up 0.01%, or one basis point.
Currency Desk:
Euro dollar: 1.16
UK Pound: 1.31
Crude Oil:
WTI crude oil futures at $69.76/barrel, down 1.23%.
On the Earnings Calendar:
Fedex earning disappointed investors. The company beat earnings expectations, but missed its revenue target.
Shares of the company are trading lower, in the premarket.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets closed with solid gains overnight. Japan (Nikkei 225) gained 1.41%, Shanghai rose 1.82 %, Hong Kong (Hang Seng) was up 0.56%.
Major European markets ended mixed in today's session. German (DAX) gained 0.51%, France CAC 40 up 0.28%, London FTSE 100 slipped 0.03%.
Market And Sector Dynamics
Stocks opened the trading day, moderately positive with all the major indices recording gains. The Dow rose 83 points, Nasdaq gained 45 points, and the S&P added 10 points.
Stocks gained momentum shortly after the open, even with the imposition of new tariffs on $200 billion of Chinese products. The rate of this round of tariffs was set at 10%, to increase to 25% come January 2019. Investors saw the 10% rate as an incentive signal to the Chinese that the US administration could be softening its negotiating stance.
Markets sentiment was positive and strong throughout the entire session. At session high the Dow was up more than 250 points.
Seven of the eleven S&P sectors closed higher in today's session. Consumer discretionary, industrials, energy, technology, healthcare and financials were the outperformers. Real estate, consumer staples, and utilities were the laggards.
Factors Influencing Today's Market
Crude oil was moderately up in the session. WTI crude oil price closed at $69.53/barrel, up .90%.
Asian markets closed with solid gains overnight, despite escalating US China trade friction.
Fedex earnings disappointed investors. Shares of the company fell more than 5% in today's trading.
September Housing Market Index, the measure of home builders confidence remains low, at 67 unchanged from August.
US 10 year bond yield close the session at 3.048%,up 1.57%.
Market Close Volume Traded And Advance Decline Ratio
At the close of the session, markets were significantly higher. The Dow rocketed 184.84 points, Nasdaq soared 60.32 points, and the S&P gained 15.51 points. Total NYSE volume traded, a moderate 3.05 billion shares. Advancing shares outpaced Declining shares by 1.25:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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