Monday's Market Recap - Stocks Tumble More Than 1,000 Points On Fear Coronavirus.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are indicating a very ugly start to the markets today. Dow futures are down 723 points, Nasdaq futures down 267 points, and S&P futures down 80 points. Global markets are selling off, as the spread of coronavirus levels off in China, but increases in South Korea, Iran, and Italy. Asian markets were down big overnight, and European stocks are solidly down early.
On The Bond Desk:
The US 10 Year Bond Yield at, 1.47% off 0.05%.
Currency Desk:
Euro dollar: 1.08
UK Pound: 1.29
Crude Oil:
WTI crude oil futures at $51.26/barrel, down 3.97%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets. Japan (Nikkei 225) (close for holiday), Shanghai down 0.28%, Hong Kong (Hang Seng) down 1.79%.
Major European markets closed with deep losses. German (DAX) down 4.01%, France CAC 40 down 3.94%, London FTSE 100 down 3.34%.
Market And Sector Dynamics
Markets opened ugly this morning, with the Dow down 997 points, Nasdaq down 348 points, and S&P fell 98 points. Coronavirus spread is dominating markets this morning, while China seems to be stabilizing, but new cases are being reported in South Korea, Iran, and Italy, feeding fears of a potential pandemic.
Markets rebounded slightly from the initial sell off early in the morning session, but was unable to sustain that mini momentum, and sank again, under severe selling pressure. Fear surrounding the coronavirus, declining bond yields, and a sell of in energy was just too much for the markets today.
Today's sell off was deep and broad based, with all eleven S&P sectors ending the day with major losses, led by Energy, Consumer Discretionary, Technology, Financials, Healthcare, Industrials, Basic Materials, and Consumer Staples.
Factors Influencing Today's Market
New coronavirus cases reported in South Korea, Iran, and Italy cast fear over global markets.
As the coronavirus issue continues in China, investors worry about it effect on supply chains around the world, including the US.
A further decline of the US 10 Year Bond Yield slid 6.92% to close at 1.371% was negative for stocks.
WTI crude oil closed moderately lower today at $51.45/barrel, down 1.19%.
Chinese markets were lower, and European markets closed with deep losses.
Market Close Volume Traded And Advance Decline Ratio
When today's ugly trading episode came to an end, the major indexes were 3% lower. The Dow tumbled 1031.61 points, Nasdaq dived 355.31 points, and the S&P dived 111.86 points. Total NYSE volume traded moderately heavy 4.92 billion shares. Declining shares outpaced Advancing shares better than 9:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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