Friday's Market Recap - Stocks Up On Optimism Around Remdesivir As A Possible Therapy For Covid-
What is The Premarket Telling Us?
8:00 AM.
Stock futures are sprinting higher this morning indicating a strong market open. Dow futures are up 744 points, Nasdaq futures up 171 points, and S&P futures up 81 points. Adding to the positive market sentiment this morning, is a report that Remdesivir, Gilead's therapy for patients seriously ill with Covid-19, appears to have worked.
On The Bond Desk:
The US 10 Year Bond Yield at 0.61%, down 0.03%.
Currency Desk:
Euro dollar: 1.08
UK Pound: 1.24
Crude Oil:
WTI crude oil futures sits at $18.29/barrel, down 7.95%.
On the Earnings Calendar:
Proctor & Gamble reported strong first quarter earning results.
Schlumberger beats first quarter earnings, but cut its dividends by 75%.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets were nicely higher in their sessions. Japan (Nikkei 225) up 3.15%, Shanghai up 0.66%, Hong Kong (Hang Seng) up 1.56%.
Major European markets traded decidedly higher. German (DAX) up 3.15%, France CAC 40 up 3.42%, London FTSE 100 up 2.82%.
Market And Sector Dynamics
Markets opened the trading day sharply higher on optimism that Gilead's Remdesivir has shown encouraging results treating severely ill Covid-19 patient at a Chicago Hospital. The Dow was up 602 points, Nasdaq gained 136 points, and S&P gained 59 points. WTI crude oil is on the decline early, currently sitting at $17.62/barrel, down more than 11%. US 10 Year Bond Yield holding at 0.617%. Markets are also buoyed by talk of plans for a strategic phased reopening of the economy, by States, or Municipalities.
Proctor & Gamble reported strong first quarter sales, which was expected due to consumers, sheltered at home stock up on food and other supply because of coronavirus.
Market remained sharply higher during the entire session, as investors seems to be consistently looking towards a future, when the economy will reopen, and Covid-19 is but faded memory.
Today's rally was broad based and solidly positive, with all eleven S&P sectors closing the day well in the green, led by Energy up <10%, Financials > 5.%, Industrials & Basic Materials < 4%, Utilities & Real Estate < 3%, Healthcare & Consumer Discretionary < 2%, Consumer Staples, Communication Services, and Technology < 1%.
Factors Influencing Today's Market
Stocks rally on encouraging results from Gilead's Remdesivir, a potential therapy for some coronavirus patients.
Investors cheer news that some States could start a phased opening up.
Proctor & Gamble first quarter earnings beat analyst estimates.
Asian and European markets ended their session solidly higher.
The US 10 Year Bond Yield closed today at 0.642%, up 3.95%.
WTI Crude Oil closed down today at $18.27/barrel, down 8.05%.
This week's Baker Hughes US Oil Rig count fell 66 rigs to 438.
Market Close Volume Traded And Advance Decline Ratio
Stocks ended today with a massive rally. The Dow gained 704.81 points, Nasdaq rose 117.78 points, and the S&P gained 75.01 points. Total NYSE volume traded, a modestly heavy 5.33 billion shares. Advancing shares outpaced Declining shares by 5.77 billion shares.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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