Tuesday's Market Recap - Dow Down As Investors Worry If Stocks Are Recovering Too Fast.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are sharply lower at this hour, indicating stock could open significantly lower when trading begins. Dow futures down 305 points, Nasdaq futures down 51 points, and the S&P down 31 points.
On The Bond Desk:
The US 10 Year Bond Yield at 0.88%, 0.02%.
Currency Desk:
Euro dollar: 1.12
UK Pound: 1.27
Crude Oil:
WTI crude oil futures at $37.45/barrel, down 1.94%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets ended mixed. Japan (Nikkei 225) lost 0.38%, Shanghai up 0.62%, Hong Kong (Hang Seng) up 1.13%.
Major European markets. German (DAX) fell 1.57%, France CAC 40 fell 1.55%, London FTSE 100 fell 2.11%.
Market And Sector Dynamics
Stock were off to a significantly lower start at the open. The Dow sank 340 points, Nasdaq fell 59 points, and the S&P fell 34 points, as investors take some profits, after the last few days of solid rallies. Share of Boeing started lower, accounting for more than 100 Dow points, early.
WTI crude oil is down early at $37.98/barrel, down 0.55%, while the US 10 Year Bond holds at 0.812%.
Markets sank even lower after the open, reaching the low of the morning, with the Dow was down 420 points. Stocks rebounded from the morning lows and remained at or near that level for the rest of the session.
Shares of Dow component, Boeing which had been up more than 60% in the last couple of weeks, gave back a small fraction of those gains today, putting pressure on the Dow.
Market tone was mostly negative, and nine of the eleven S&P sectors closed the session with losses, led by Energy, Industrials, Utilities, Financials, Basic Materials, Real Estate, Healthcare, Consumer Staples, and Consumer Discretionary.
Factors Influencing Today's Market
Investor focused on profit taking after the market run up of the last few days.
Boeing gave back a fraction of its recent gains, adding downward pressure on the Dow.
Asian and European markets were mostly lower in their sessions.
WTI crude oil closed slightly higher, today - at $38.27/barrel, up 0.47%.
US 10 Year Bond Yield 0.825%, down 6.06%.
Market Close Volume Traded And Advance Decline Ratio
When trading ended, the Dow was down 300.14 points, Nasdaq gained 29.01 points, and the S&P fell 29.21 points. Total NYSE volume traded, a moderately strong 6.41 billion shares. Declining shares outpaced Advancing shares nearly 4:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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