Wednesday's Market Recap - Dow Gave Up Early Rally To Finish Day Lower.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are modestly lower at this hour, after two consecutive days of market losses. Dow futures down 73 points, Nasdaq futures down 3 points, and S&P futures down 3 points.
On The Bond Desk:
The US 10 Year Bond Yield at 1.33%, down 0.05% or 5 basis points.
Currency Desk:
Euro dollar: 1.08
UK Pound: 1.29
Crude Oil:
WTI crude oil futures at $49.39/barrel, down 1.02%.
On the Earnings Calendar:
Salesforce.com reported solid quarterly earnings, after the bell yesterday.
Virgin Galactic reported a wider loss than expected after the bell yesterday.
Lowe's reported mixed quarterly result. The company beat earnings, but revenue missed estimates.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets were lower in their session. Japan (Nikkei 225) fell 0.79%, Shanghai down 0.83%, Hong Kong (Hang Seng) down 0.73%.
Major European markets ended mixed. German (DAX) down 0.12%, France CAC 40 up 0.09%, London FTSE 100 up 0.35%.
Market And Sector Dynamics
After a ugly two day sell off, stocks rallied at the open, with the Dow surging 150 points, Nasdaq up 58 points, and the S&P added 13 points. Crude oil traded lower early, at $49.71/barrel, down 0.42%. Market breath looks good. All eleven S&P sectors are positive, but the 10 Year Bond yield continues to trend lower.
Markets remained elevated for the most of the morning session, with the Dow hitting a high of more than 400 points, at the midpoint of the morning session. Stocks sank precipituously around noon, and turned negative early in the afternoon session, and floated below the flat line for the rest of the session.
Today's sell off was very broad based with all the eleven S&P sectors closing lower, led by Energy, Utilities, Real Estate, Industrials, Consumer Discretionary, Financials, Consumer Staples, and Technology.
Factors Influencing Today's Market
Coronavirus concerns continues to weigh negatively on markets, as new cases are reported worldwide.
Biotech company, Moderna delivers its first vaccine for human testing for coronavirus.
WTI crude oil price closed at $48.73/barrel, down 2.34%.
This week's EIA Status Report show US crude oil inventory rose 0.50 million barrels.
Salesforce.com reported solid quarterly earnings.
Lowe's reported a mixed quarter.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading the major indexes were mixed. The Dow fell 123.77 points, Nasdaq rose 15.66 points, and the S&P lost 11.82 points. Total NYSE volume traded, a heavy 5.53 billion shares. Declining shares outpaced Advancing shares almost 2:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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