Tuesday's Market Recap - Dow Records Massive Intraday Selloff.
What is The Premarket Telling Us?
8:00 AM.
US stock futures jumped higher overnight, and remains highly elevated this morning. Dow futures up 806 points, Nasdaq futures up 237 points, S&P futures up 85 points. Global market are also higher, with Asian market closing higher overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 0.68%, up 0.09%.
Currency Desk:
Euro dollar: 1.07
UK Pound: 1.22
Crude Oil:
WTI crude oil futures at $26.87/barrel, up 3.03%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets closed higher. Japan (Nikkei 225) up 2.01%, Shanghai up 2.05%, Hong Kong (Hang Seng) up 2.12%
Major European markets. German (DAX) up 2.79%, France CAC 40 up 2.12%, London FTSE 100 up 2.18%.
Market And Sector Dynamics
Markets opened in strong rally mode, with the Dow up 845 points, Nasdaq up 219 points, and the S&P jumped 89 points. WTI crude oil rose is up $26.98/barrel, up 2.19%, and the US 10 Year Bond Yield is up 0.755%, up 11.39%. Dow surged even higher shortly after the open, the Dow jumping 937 points, at the high of the day.
Market were mostly positive for the entire sessions, despite a major intraday selloff before noon, followed by another massive rally, before a final volatile sell off just before the close. Encouraging news that social distancing is working, resulting in the flattening of the curve, particularly in New York City. Market even ticked higher after New York's Governor Cuomo gave his daily coronavirus report.
Investors were also keeping an eye on crude oil prices which was up for most of the session, but turned lower near session close at 2:30 PM. This also helped to push markets lower.
Today's selloff was fairly balanced, with six of the eleven S&P sectors ended with losses, led by Utilities, Consumer Staples, Technology, Healthcare, and Industrials. Basic Materials, Energy, Consumer Discretionary, Financials, and Communication Services were ended higher.
Factors Influencing Today's Market
Optimism as coronavirus appears to be flattening in New York State, suggesting social distancing is working.
WTI Crude oil closed today at $23.63/barrel down 9.39%.
The US 10 Year Bond Yield at 0.726%, up 7.19%.
Asian markets closed with modest gains.
Market Close Volume Traded And Advance Decline Ratio
Intraday, the Dow covered 1,000 points from high to low, and a volatile mostly positive session. The Dow fell 26.13 points, Nasdaq down 25.98, and the S&P down 4.27 points. Total NYSE volume traded, a heavy 7.10 billion shares. Advancing shares outpaced Declining shares 2.6:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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