Wednesday's Market Recap - Stocks Sank As Investor Look For New Incentives To Push It Higher.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are mostly unchanged at this hour. Dow futures down 33 points, Nasdaq futures down 3.75 points, S&P futures 3.25 points. Asian market were mixed to mostly lower overnight. We also learned that Carlos Ghosn, former Nissan, and Renault CEO, has be release from jail in Japan. He has been misteriously charged with embezzling corporate money, by the Japanese authorities.
On The Bond Desk:
The US 10 Year Bond Yield unchanged at 2.72%
Currency Desk:
Euro dollar: 1.13
UK Pound: 1.31
Crude Oil:
WTI crude oil futures at $56.11/barrel, down 0.08%.
On the Earnings Calendar:
Dollar Tree beat quarterly earnings, and is closing 600 Family Dollar Stores nationwide.
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets closed mixed. Japan (Nikkei 225) lost 0.60%, Shanghai up 1.57%, Hong Kong (Hang Seng) added 0.26%.
Major European markets mixed . German (DAX) fell 0.28%, France CAC 40 fell 0.16%, London FTSE 100 up 0.17%.
Market And Sector Dynamics
Markets opened the trading day modestly lower. The Dow dipped 38 points, Nasdaq down 22 points, and the S&P down points. Investors are reacting to report from the Commerce Department showing the trade deficit for 2018 was a record $891 billion, a 10 year high, despite the administrations attempt to reduce the US trade balance, especially, with China. Investors are also growing more worried about, US corporate earning being revised lower and lower.
By 1:00 PM, the Dow was down more than 160 points, which was the low of the session. Markets clawed back some of the earlier losses during the afternoon, but not enough to make it to positive territory.
Market tone was mostly negative, with nine of the eleven S&P sectors ending the session with moderate to modest losses. Healthcare, Energy, Industrials, Financials, Consumer Discretionary, Technology and Real Estate bore the brunt of those losses.
Basic Materials was mostly higher.
Factors Influencing Today's Market
US Commerce Department reports that the US trade deficit soared $891 Billion. The highest in 10 years.
Market are looking for a new catalyst, now that the Fed/FOMC is on hold, and US China trade deal could be imminent, and both of these are already price into the market.
Investors need to see some stabilization in US corporate earning.
ADP Private Employment Report for Feburary came in at 183,000 vs 180,000 estimated.
Market Close Volume Traded And Advance Decline Ratio
Markets gave back some gains today. At the close the Dow was down 133.17 points, Nasdaq down 70.44 points, and S&P fell 18.20 points. Total NYSE volume traded, a light 3.73 billion shares. Declining shares outpaced Advancing shares by 3:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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