Tuesday's Market Recap - Dow Mildly Lower On Weak August Consumer Confidence Report.
What is The Premarket Telling Us?
7:00 AM.
Stock index futures are displaying another morning of green arrows. Dow futures up 174 points, Nasdaq futures up 18 points, and S&P futures up 13 points. Asian stocks were mixed overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 0.65%, up 0.01%.
Currency Desk:
Euro dollar: 1.17
UK Pound: 1.30
Crude Oil:
WTI crude oil futures at $42.73/barrel, up 0.26%.
On the Earnings Calendar:
None.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets ended their session mixed. Japan (Nikkei 225) gained 1.35%, Shanghai fell 0.36%, Hong Kong (Hang Seng) fell 0.26%.
Major European markets ended mildly lower. German (DAX) down 0.04%, France CAC 40 up 0.01%, London FTSE 100 down 1.11%.
Market And Sector Dynamics
Stock opened the day mixed, with the Dow up 70 points, Nasdaq fell 9 points, and the S&P rose 7 points. WTI crude oil is up early at $43.44/barrel, up 1.92%, and the US 10 Year Bond 0.657%.
Market tone is mildly positive, with advancing shares outpacing declining share 2:1. Stock declined shortly after the release of August Consumer Confidence Index which was a weaker than expected 84.8 vs 92.5 estimated. Rebutting that negative sentiment was a strong July New Home Sales read of 901K vs 791K for June, an impressive 13.9% increase month over month.
Stocks slid lower during most of the morning session, with the Dow down 200 points, the intraday
low, shortly before noon, but turned around later and gradually reclaimed most of those losses over the remaining trading session.
The session was mostly balanced with six of the eleven S&P sectors ending with gains, led by Communication Services, Healthcare, Healthcare, Consumer Discretionary, Technology, Real Estate, and Financials. Energy, Utilities, Basic Materials, Consumer Staples, and Industrials, loss ground in today's session.
Factors Influencing Today's Market
Strong July New Home Sales suggesting housing industry in humming as the american look for more space in suburbs to work from home during the current pandemic lockdown.
Weaker than expected August Consumer Confidence Index.
Exxon, Pfizer, and Ratheon are being removed from the Dow Jones Industrial Index, and will be replaced by Amgen, Honeywell, and Salesforce.
US 10 Year Bond Yield closed higher at 0.688%, up 5.21%.
WTI crude oil closed the day at $43.45/barrel, up 1.95%.
Market Close Volume Traded And Advance Decline Ratio
At the end of the session markets were mostly mixed. The Dow fell 60.02 points, Nasdaq gained 86.75 points, S&P gained 12.34 points. Total NYSE volume traded, a light 3.64 billion shares. Declining shares and Advancing shares were mostly balance.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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