Friday's Market Recap - Stocks Rally On Passage Of $500 Billion Addition To Cares Act.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are moderately higher, early. Dow futures are up 174 points, Nasdaq futures up 50 points, and S&P futures up 21 points. Global markets are lower on weaker than expected economic data.
On The Bond Desk:
The US 10 Year Bond Yield at 0.61%, down 0.01%.
Currency Desk:
Euro dollar: 1.07
UK Pound: 1.23
Crude Oil:
WTI crude oil futures at $17.00/barrel, up 3.03%.
On the Earnings Calendar:
Verizon reported better than expected earnings.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets traded lower. Japan (Nikkei 225) fell 0.86%, Shanghai down 1.06%, Hong Kong (Hang Seng) fell down 0.61%.
Major European markets also ended the day lower. German (DAX) lost 1.69%, France CAC 40 fell 1.30%, London FTSE 100 down 1.28%.
Market And Sector Dynamics
Stocks opened today's session solidly higher, with the Dow gaining 193 points, Nasdaq rose 41 points, and S&P up 40 points. Report of weak global PMIs are not affecting markets at this time, as investors prefer to focus on crude oil prices, which is marching higher, after last week's collapse.
WTI Crude Oil is up early, up $17.50/barrel, up 6%.
Overnight the House of Representatives passed the nearly $500Billion extension to the Cares Act, to help small business and Hospitals, due to the Covid-19 Pandemic.
Markets weakened steadily shortly after the open, and bounce along the flat line for a while, before turning higher during the afternoon session, to close at the high of the day.
All eleven S&P sectors ended today's session with solid gains. The rally was very positive, and led by Technology, Basic Materials, Healthcare, Consumer Discretionary, Financials, Consumer Staples, Communication Services, Industrials, Utilities, and Energy.
Factors Influencing Today's Market
Passage of the extension to the Cares Act, by the House of Representative, to help small businesses to retain their employees.
Better than expected Earnings Verizon.
Global PMI have weakened due to the Covid-19 pandemic lockdown.
US 10 Year Bond Yield at 6.05%, up up 0.40%.
WTI Crude Oil prices closed higher at $16.94/barrel, up 2.67%.
Baker Hughes US Oil Rig Count fell 60 rigs to 378 total.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading markets were solidly higher. The Dow gained 259.97 points, Nasdaq rose 139.77 points, and the S&P gained 1.39 points. Total NYSE volume traded, a moderate 5.47 billion shares. Advancing shares outpaced Declining shares by 1.67:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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