Monday's Market Recap - Stocks Notches Near 100 Point Gain Amidst Wide Spread Protest.
What is The Premarket Telling Us?
7:00 AM.
It is the first trading day of the new month, and stock futures are muted at this hour. Dow futures are down 6 points, Nasdaq futures down 38 points, and S&P futures down 3 points. Across the country there were demonstration due to the savage killing of George Floyd, at the hands of the Minneapolis Police, last Tuesday. These demonstrations have increased in size, scope, and intensity, since then, including the weekend.
On The Bond Desk:
The US 10 Year Bond Yield at 0.66%, down 0.04%.
Currency Desk:
Euro dollar: 1.10
UK Pound: 1.23
Crude Oil:
WTI crude oil futures at $36.36/barrel, down 0.37%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets recorded extended gains overnight. Japan (Nikkei 225) up 0.84%, Shanghai up 2.21%, Hong Kong (Hang Seng) up 3.36%.
Major European markets closed mixed in the session. German (DAX) down 1.65%, France CAC 40 up 1.43%, London FTSE 100 up 1.48%.
Market And Sector Dynamics
After a weekend of protests and some looting across many cities, stocks opens lower. The Dow fell 110 points, Nasdaq fell 23 points, and the S&P fell 21 points. Crude oil started off lower, at $34.52/barrel, down 2.76%, and the US 10 Year Bond steady at 0.679%.
Markets turned positive half an hour after the open, and stayed positive for the rest of the session. At the low of the morning the the Dow was down as much as 170 points.
Market tone was surprisingly upbeat and positive, despite continuing protests across the country, over the murder of George Floyd.Ten of the eleven S&P sectors closed the session with gains, led by Real Estate, Energy, Financials, Utilities, Consumer Discretionary, Communication Services, Consumer Staples, Basic Materials, Industrials, and Technology. Healthcare was lower in the session.
Factors Influencing Today's Market
Nationwide protests surrounding the Floyd murder last week in Minneapolis, Minnesota.
Continued optimism about the reopening of the economy.
Slight improvement in US economic data as May's Purchasing Managers Index (PMI) came in at 39.8 vs 36.1 for April.
May's ISM Manufacturing Index also came in better than expected at 43.1 vs 41.5 in April.
US 10 Year Bond closed at 0.667%, up 4.07%.
WTI crude oil was mostly flat at the close at $35.44/barrel, down 0.14%.
Market Close Volume Traded And Advance Decline Ratio
At the end of the session, the Dow gained 91.91 points, Nasdaq up 62.18 points, and the S&P rose 11.42 points. Total NYSE volume traded, a moderate 4.72 billion shares. Advancing shares outpaced Declining shares by 3:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
Comments