Monday's Market Recap - Dow Recovers From 250 Point Morning Loss & Ends Session With 200 Poi
What is The Premarket Telling Us?
7:30 AM.
Stock futures are mostly mixed this morning. Dow futures down 155 points, Nasdaq futures up 28 points, and S&P futures up 6 points. Dow futures are under pressure after a brand new Ethiopia Airlines 737 -8 MAX crashed shortly after take off in Ethiopia. killing.
On The Bond Desk:
The US 10 Year Bond Yield at 2.62%, down 0.02% or two basis points.
Currency Desk:
Euro dollar: 1.12
UK Pound: 1.29
Crude Oil:
WTI crude oil futures at %56.49/barrel, up 0.75%.
On the Earnings Calendar:
None
In M&A News:
Barrick Gold has dropped it $18 Billion hostile takeover of Newmont Mining. Instead, the companies have announced a joint venture to combine their operations, in Nevada.
Chip maker, NVIDIA is rumored to be nearing a deal to acquire Mellanox, an Israeli Data Tech firm.
What About The Asian And European Markets?
Major Asian markets traded higher overnight. Japan (Nikkei 225) rose 0.47%, Shanghai gained 1.92%, Hong Kong (Hang Seng) was up 0.97%.
Major European markets closed with gains. German (DAX) up 0.75%, France CAC 40 up 0.66%, London FTSE 100 gained 0.37%.
Market And Sector Dynamics
US stocks opened the trading day mixed. The Dow sank 130 points, Nasdaq rose 62 points, and the S&P rose 14 points. Stocks are under pressure from from Boeing, after the crash of Ethiopian Airlines, a Boeing 737 - 8 MAX, in Ethiopia, on Sunday. This is the second such aircraft to crash, in the last 5 months.
Investors chose risk-on today, as the market staged a remarkable comeback, after being down more than 250 points in the morning, due to the deadly crash of the Boeing 737 Ethiopian Airliner, in Ethiopia. Shares of Boeing fell 11% early in the session, putting pressure on the Dow.
Fortunately the Nasdaq and the S&P went the other way, thanks to shares of technology companies, including FAANG. Facebook, Apple, Amazon, Netflix, and Google.
The Dow turned positive shortly before 11:00 AM, and gained additional momentum for the rest of the session. Today's rally was broad based, and market tone was very positive, with all eleven S&P sectors closing with solid gains. Technology, Communication Services, Energy, Real Estate, Consumer Discretionary, Basic Materials, Consumer Staples, Healthcare, Financials, were the outperforming sectors.
All 30 Dow component stocks were also higher, except Boeing, which ended the session down 5.33%, at $400.01/share.
Factors Influencing Today's Market
Share of Boeing weighted negatively on the Dow today, after the deadly Ethiopian Airlines crash on Sunday.
Barrick Gold and Newmont Mining have entered into a joint venture in their Nevada operations. Barrick Gold has called off its $18 Billion hostile bid for Newmont Mining.
Chip maker NVDIA is acquiring Israeli data company, Mellanox.
Major Asian and European markets close their session with solid gains.
Market Close Volume Traded And Advance Decline Ratio
At the end of the trading session, the Dow soared 200.64 points, Nasdaq jumped 149.92 points, and S&P gained 40.23 points. Total NYSE volume trades, a modest 3.68 billion shares. Advancing shares outpaced Declining shares nearly 4:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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