Wednesday's Market Recap - Another Deep Selloff As WHO Declare Coronavirus A Pandemic.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are plummeting again this morning, suggesting another rollercoaster day. Dow futures are down 438 points, Nasdaq futures down 158 points, and S&P futures down 56 points. Overnight the Bank of England cut interest rate by fifty basis points (0.50%). The World Health Organization (WHO), has now declared the coronavirus outbreak a pandemic, affecting numerous countries around world.
On The Bond Desk:
The US 10 Year Bond Yield at 0.75%, up 0.50%.
Currency Desk:
Euro dollar: 1.12
UK Pound: 1.29
Crude Oil:
WTI crude oil futures at $33.26/barrel, down 3.20%.
On the Earnings Calendar:
None.
In M&A News:
Pepsi buying Rockstar Energy Drink Brand in a deal worth $3.85 billion.
What About The Asian And European Markets?
Major Asian markets. Japan (Nikkei 225) down 2.27%, Shanghai down 0.94%, Hong Kong (Hang Seng) down 0.63%.
Major European markets were modestly lower. German (DAX) down 0.35%, France CAC 40 down 0.57%, London FTSE 100 down 1.40%.
Market And Sector Dynamics
Market once again was off to a ugly start today. The Dow fell 710 points, Nasdaq fell 207 points, and the S&P fell 74 points. Crude oil is also off to a lower start, trading at $33.36/barrel, down 2.97%, and the US 10 Year Bond Yield was down 0.700%, early.
Markets remained severely depressed for the entire session, under pressure from fear of the coronavirus, which, today was designated a Pandemic by the W.H.O. A near collapse of crude oil prices due to the oil war between Saudi Arabia and Russia, is also hurting sentiment.
The fluidity of the US 10 Year Bond Yield is also a concern for markets,
Factors Influencing Today's Market
Coronavirus declared a Pandemic by the World Health Organization.
Saudi Arabia and Russia are engaged in an oil war which is depressing energy markets.
Asian and European markets traded lower on today's session.
The US 10 Year Bond Yield closed at 0.877%, up 9.62%.
WTI Crude Oil closed at $32.98/barrel, down down 4.02%.
This week's EIA Petroleum Status Report show US crude oil inventories rose 7.7 million barrels.
February Consumer Price Index (CPI) rose 0.1%.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading, markets were deep in the red, as the rollercoaster rides on. The Dow down 1464.94 points, Nasdaq fell 392.20 points, and the S&P down 140.85 points. Total NYSE volume traded, a heavy 7.40 billion shares. Declining shares outpaced Advancing shares by 17:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
Comments