Monday's Market Recap - US - China Trade War Stoke Investor Fears Once Again.
What is The Premarket Telling Us?
7:00 AM. (6:00 AM Houston, TX).
Stock futures are tumbled lower overnight and into the morning, as US China trade negotiations have broken down, send fear through the markets. Dow futures are down 471 points, Nasdaq down 152 points, and the S&P down 46 points.
On The Bond Desk:
The US 10 Year Bond Yield at 2.49%, down 0.04%.
Euro dollar: 1.11
UK Pound: 1.30
Crude Oil:
WTI crude oil futures $61.31/barrel, down 1.02%.
On the Earnings Calendar:
None
In M&A News:
None
What About The Asian And European Markets?
Major Asian markets. Japan (Nikkei 225) down 0.22%, Shanghai dived 5.58%, Hong Kong (Hang Seng) down 2.90%
Major European markets closed lower. German (DAX) down 1.01 %, France CAC 40 down 1.18%, London FTSE 100 up 0.40%
Market And Sector Dynamics
US stocks opened deep into negative territory, to begin the new trading week, as trade conflict with China, and the return of tariff threats, retake center stage. The Dow sank 470 points, Nasdaq dived 178.73 points, and the S&P fell 45.87 points.
Markets bounced modestly off the opening lows during the morning, and early afternoon session, but gained additional upward momentum later in the afternoon, nearly recouping all of the earlier losses. This recovery occurred after the Administration tried to reassure markets, that trade talks have not collapsed, and that US China trade talks will continue.
Today's selloff was broad based but the intensity was modest. Ten of the eleven S&P sectors closed lower. Basic Materials, Industrials, Financials, Utilites, Consumer Discretionary, and Real Estate, were the major sectors leading the decline. Only Healthcare closed the session with gains.
Factors Influencing Today's Market
A breakdown in US China trade negotiating and threats of new tariffs weighed negatively on stocks today.
Markets recovered nearly all of the morning losses after the President tried to assure markets that trade deal is still possible.
WTI crude oil traded modestly higher today, closing at $62.25/barrel, up 0.50%.
Both Asian and European closed significantly lower in their sessions today.
Market Close Volume Traded And Advance Decline Ratio
At the end of the session the markets were moderately lower, with the Dow shedding 66.47 points, Nasdaq down 40.71 points, and S&P lost 13.17 points. Total NYSE volume traded, 3.15 billion shares. Declining shares outpaced Advancing shares 1.40:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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