Thursday's Market Recap - Another Solid Rally On Hint Of China Trade Deal With President Xi.
What is The Premarket Telling Us?
7:00 PM.
US stock futures were are all positive in the morning setup. Dow futures up 150 points, Nasdaq futures 45 points, and S&P futures up 15 points. Apple and Starbucks will report earnings after the closing bell today, as Q3 Earnings season continues.
On The Bond Desk:
The US 10 Year Bond Yield at 3.16%, up 0.05%.
Currency Desk:
Euro dollar: 1.13
UK Pound: 1.28
Crude Oil:
WTI crude oil futures at $64.90/barrel, down 3.85%.
On the Earnings Calendar:
Starbucks reports after the bell this evening.
Apple reports earning after the closing bell this evening.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets closed mixed. Japan (Nikkei 225) fell 1.06%, Shanghai rose 0.13%, Hong Kong (Hang Seng) up 1.75%.
Major European markets flat to mixed in their session. German (DAX) up 0.18%, France CAC 40 down 0.15%, London FTSE 100 down 0.19%.
Market Direction And & Sector Dynamics
Stocks began the trading day higher, with the Dow gaining 106 points, Nasdaq gained 28 points, and the S&P rose 9.41 points.
Markets climbed higher from the opening bell, with the bulls extending the rally for the third straight day. The elephant in the room for this market is fear surrounding our trade relationship with China. Today the President indicated that has a long talk with President Xi of China, about trade and other issues, and reiterated they will be meeting on the sidelines of the G-20 meeting in Argentina, later this month. Although this was already known, but market seem to want to believe that a trade deal can be worked out with Xi at that meeting. Of course, that is hardly likely.
Large Industrial and technology companies led the markets higher today, on the President's statement, and also on a slight decline of the US dollar. Today's rally was broad-based, with most of the eleven S&P sectors closing with gains.
Factors Influencing Today's Market
President Trump's comment that he had a long talk with China's President Xi today.
This week's Initial Jobless Claims fell 2000 claims to 214,000, indicating continued strong labor market.
Crude oil prices traded solidly lower today. WTI crude oil prices closed at $63.69/barrel, down 2.48%.
Starbucks and Apple report earnings after the bell this evening.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading the Dow rose 264.98 points, Nasdaq gained 128.16 points, and the S&P added 28.63 points. Total NYSE volume traded, a solid 4.66 billion shares. Advancing shares outpaced Declining shares 3:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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