Thursday's Market Recap - Stocks Rallied Today Thanks To Big Technology.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are modestly negative at this hour, suggesting a continuation of yesterday's late evening selloff. Dow futures are down 69 points, Nasdaq down 15 points, and S&P up 9 points. Investors will no doubt be focused on this week's Initial Jobless Claims Report to gauge what's happening with new filing of claims for unemployment benefits due to the pandemic.
On The Bond Desk:
The US 10 Year Bond Yield at 0.68%, up 0.01%.
Currency Desk:
Euro dollar: 1.18
UK Pound: 1.31
Crude Oil:
WTI crude oil futures at $42.67/barrel, down 1.02%.
On the Earnings Calendar:
Chipmaker, Nvidia reported a strong quarter after the closing bell yesterday
In M&A News:
airbnb has filed draft documents for an IPO.
What About The Asian And European Markets?
Major Asian markets were solidly lower overnight. Japan (Nikkei 225) down 1.00%, Shanghai down 1.30%, Hong Kong (Hang Seng) lost 1.54%.
Major European markets traded lower today. German (DAX) lost 1.14%, France CAC 40 fell 1.33%, London FTSE 100 fell 1.61%.
Market And Sector Dynamics
Markets opened the trading day convincingly lower. The Dow dived 162 points, Nasdaq down 48 points, and the S&P down 18 points, due mainly to pe received pessimism by the Feds in their meeting minutes released yesterday afternoon. WTI crude oil is also off to a lower start at $41.85/barrel, down 2.42%, and the US 10 Year Bond is holding at 0.664%.
Market breath is mostly negative with declining shares outpacing advancing shares by 4:1.
Stock gradually pushed higher during the morning session, turning positive around noon, and remaining close to the flat line for balance of the session, climbing higher into the close. At the intraday high the Dow was up around 80 points.
Seven of eleven S&P sectors closed the session with moderate losses, led by, Energy, Financials, Utilities, Industrials, Basic Materials, Healthcare and Consumer Staples. Technology, Communication Services, and Real Estate were moderately higher.
Factors Influencing Today's Market
Perceived Fed/FOMC pessimism about the economic recovery remains a worry for investors, as the stock market has mostly recovered, but main street is still struggling.
Another 1.106 million Americans file for new unemployment benefits last week.
US 10 Year Bond Yield closed at 0.652%, down 4.74%.
WTI crude oil closed at $42.88/barrel, down 0.12%.
Reports are 'skinny stimilus bill' is being drafted by the GOP.
Market Close Volume Traded And Advance Decline Ratio
When trading ended today, the markets returned to their winning ways. The Dow gained 46.85 points, Nasdaq soared 118.49 points, and S&P rose 10.66 points. Total NYSE volume traded, a light 3.52 billion shares. Declining shares outpaced Advancing shares by 1.51:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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