Thursday's Market Recap - Dow Rebounds 700 Points Intraday, In Mixed Trading Session.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are all negative again this morning, suggesting, markets are inclined to continue Tuesday's massive selloff, despite yesterday's holiday, celebrating the life of Former President, George Herbert Walker Bush, our 41st president. Dow futures are down 472 points, Nasdaq futures down 113 points, and S&P futures down 36 points.
On The Bond Desk:
The US 10 Year Bond Yield at 2.92%, down 0.07% or 7 basis points.
Currency Desk:
Euro dollar: 1.13
UK Pound: 1.27
Crude Oil:
WTI crude oil futures at $51.55/barrel, down 2.53%.
On the Earnings Calendar:
None
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets fell hard in their session. Japan (Nikkei 225) fell 1.91%, Shanghai down 1.68%, Hong Kong (Hang Seng) lost 2.47%
Major European markets also fell significantly. German (DAX) down 3.48%, France CAC 40 fell 3.31%, London FTSE 100 3.15%
Market And Sector Dynamics
Stocks opened today's session decidedly lower. The Dow fell 362 points, Nasdaq lost 96 points, and the S&P fell 36 points. Investors worried about trade issues with China, inversion of US bond yields, and slowing global growth.
Crude oil prices are also lower, as investor await the outcome of OPEC producer as they gather today to negotiate a cut in crude oil production.
Market plummeted even lower, as investor learned that Canada had arrested a high ranking CFO of Huawei, Meng Wanzhou. Huawei is regarded as the Apple of China. An hour before noon the Dow was down just shy of 800, adding to the near 800 that was lost in Tuesday's session.
Today's selloff was felt extremely negative, almost like the end of a violent correction. In a surprise turnaround, markets regained nearly all of the 800 point lost earlier in the session
Six of the eleven S&P sectors closed with losses, led by Energy, Financials, Materials, Industrials, and healthcare.
Factors Influencing Today's Market
US China trade tensions continues to be the biggest worry for US and global markets.
The arrest in Canada, of Meng Wanzhou, a corporate official from Huawei, one of China's premier companies.
Crude oil prices fell in today's session. WTI crude oil prices closed at $51.49/barrel, down 2.65%, as OPEC failed to agree on a production cut today, although a cut is expected tomorrow.
November ADP Private Sector Employment Report showed an increase of 179,000 vs 175,000 consensus estimate.
Major Asian and European stocks were down big during their respective sessions.
This week's Initial Jobless Claims fell 4000 to to 231,000 total.
This week's EIA Petroleum Status Report showed crude oil inventories fell 7.3 million barrels to 443.2 million barrels. The first draw down in 11 consecutive weeks of inventory increases.
Market Close Volume Traded And Advance Decline Ratio
At the close of trading stocks were mixed. The Dow fell 79.40 points, Nasdaq gained 29.83 points, and the S&P lost 4.11 points. Total NYSE volume traded, a strong 5.09 billion shares. Declining shares outpaced Advancing shares nearly 2:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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