Thursday's Market Recap - Surprised Intraday Sell Off Spooks Investors.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are slightly negative in the early going. Dow futures down 38 points, Nasdaq futures down 14 points, and S&P futures down 4 points. Asian market were mostly higher.
On The Bond Desk:
The US 10 Year Bond Yield at 1.57%, up 0.02%.
Currency Desk:
Euro dollar: 1.07
UK Pound: 1.28
Crude Oil:
WTI crude oil futures at $53.66/barrel, up 0.32%
On the Earnings Calendar:
In M&A News:
Morgan Stanley announced it is buying E-Trade in a stock deal worth $13 Billion.
What About The Asian And European Markets?
Major Asian markets closed mixed. Japan (Nikkei 225) gained 0.34%, Shanghai gained 1.84%, Hong Kong (Hang Seng) up fell 0.17%.
Major European markets traded lower today. German (DAX) fell 0.91%, France CAC 40 down 0.80%, London FTSE 100 fell 0.27%.
Market And Sector Dynamics
Markets opened modestly lower with the Dow down 47 points, Nasdaq down 26 points, and the S&P slipped 4 points. WTI crude oil continues to trend higher, early, at $54.01/barrel, up 1.35%.
Markets hovered around the flat line for most of the morning session, before a sudden unexplained, deep selloff shortly before midday. Some some blamed a report of first reported coronavirus death in S.Korea, Former NYC Mayor Bloomberg's poor performance in last night's Democratic Debate, or simply a nervous overbought market. At the low the Dow was down nearly 400 points, but the index gradually reclaimed more than half of those losses during the afternoon session.
At the close, stock were mostly balance. Seven of the eleven S&P sectors closed the day with modest losses, led by Technology, Healthcare, Communication Services, Energy, Industrials, and Financials. Real Estate, Utilities, Basic Materials, and Consumer Staples ended with gains.
Factors Influencing Today's Market
Coronavirus cases in China continues to moderate, but the first death from the virus was reported in South Korea.
Morgan Stanley reported that it is buying the last of the legacy online discount broker, E-Trade in a stock deal worth $13 Billion.
Asian markets were mostly higher overnight, while European market closed with losses.
This week's US Jobless Claims rose 4,000 claims to 210,000.
This week's EIA Petroleum Status Report show US crude oil inventory rose 0.4 million barrels.
WTI Crude Oil closed the day at $53.29/barrel, up 0.92%.
US 10 Year Bond Yield slipped today, to close at 1.519%, down 3.12%.
Market Close Volume Traded And Advance Decline Ratio
When trading ended markets were moderately lower. The Dow lost 128.05 points, Nasdaq fell 66.21 points, and the S&P down 12.92 points. Total NYSE volume traded, a moderate 4.02 billion shares. Advancing shares outpaced Declining shares by 1.60:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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