Friday's Market Recap - Stock Began Strong But Ended Lower In 600 Point Intraday Roundtrip.
What is The Premarket Telling Us?
7:00 AM.
US stock futures are nicely positive, indicating stock could be higher at the open. Dow futures are up 227 points, Nasdaq futures up 75 points, and S&P futures up 24 points. Asian stocks were higher in their session.
On The Bond Desk:
The US 10 Year Bond Yield at 0.69%, down 0.04%.
Currency Desk:
Euro dollar: 1.12
UK Pound: 1.24
Crude Oil:
WTI crude oil futures at $39.86/barrel, up 2.63%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets modestly higher overnight. Japan (Nikkei 225) up 0..55%, Shanghai up 0.96%, Hong Kong (Hang Seng) up 0.73%.
Major European markets also ended higher. German (DAX) gained 0.40%, France CAC 40 gained 0.42%, London FTSE 100 up 1.10%.
Market And Sector Dynamics
Markets sprinted higher at the open of this Juneteenth iteration of the markets. The Dow gained 315 points, Nasdaq gained 95 points, and the S&P gained 34 points. WTI crude oil pushed through the $40/barrel mark, currently at $40.19/barrel, up 3.35%, which is helping to push shares of energy companies higher. The US 10 Year Bond has also ticked higher, sitting at 0.727%.
Investors may be betting on the potential for more fiscal stimulus to help the US economy to overcome the Covid-19 economic shock. We also learned today that Apple will be closing about 17 stores in the US, in areas mainly in the south and California due to a spike in Covid-19 cases.
Stocks traded gradually lower during the morning session, turning negative around 12:30 PM, hitting the low of the day around 2:30 PM, with the Dow down more than 300 points. Stocks rebounded a short while later, but failed to get back to positive territory.
Today's selloff was broad based and negative, with ten of the eleven S&P sectors closing with modest losses, led by Utilities, Energy, Industrials, Real Estate, Technology, Financials, Consumer Staples, Discretionary, Communication Services, and Basic Materials. Healthcare was modestly higher.
Factors Influencing Today's Market
Potential for additional fiscal stimulus to help economy to handle the Covid-19 shock.
Asian and European markets were higher in their sessions.
US 10 Year Bond closed the day at 0.694%, down down 1.85%.
WTI crude oil closed today at $39.36/barrel, down 0.85%.
This week's Baker Hughes Oil Rig count fell 13 rigs to 266 total.
Arizona, Alabama, California, Florida, North Carolina are seeing huge spikes in Covid-19 cases and hospitalizations.
Market Close Volume Traded And Advance Decline Ratio
When trading ended on this triple witching Friday, markets were mixed to mostly lower. The Dow fell 208.64 points, Nasdaq added 3.07 point, and the S&P fell 17.60 points. total NYSE volume traded, a heavy 8.50 billion shares. Declining shares outpaced Advancing shares by 1.88:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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