Friday's Market Recap - Investors Worry Game Stop Short Squeeze Could Spread To Wider Market.
- Jan 29, 2021
- 2 min read
What is The Premarket Telling Us?
7:00 AM.
US stock futures are in glowing red at this hour. Dow futures down 156 points, Nasdaq futures down 123 points, and S&P futures down 24 points. Asian markets ended their session lower overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 1.06%, up 0.05%.
Currency Desk:
Eurodollar: 1.21
UK Pound: 1.37
Crude Oil:
WTI crude oil futures at $52.59/barrel, up 0.48%.
On the Earnings Calendar:
None.
In M&A News:
None to report.
What About The Asian And European Markets?
Major Asian markets ended lower on Friday. Japan (Nikkei 225) lost 1.89%, Shanghai fell 0.63%, Hong Kong (Hang Seng) fell 0.94%.
Major European markets was also solidly lower. German (DAX) down 1.71%, France CAC 40 fell 2.07%, London FTSE 100 lost 1.82%.
Market And Sector Dynamics
Markets opened today's session significantly lower. The Dow fell 272 points, Nasdaq fell 43 points, and the S&P fell 27 points. WTI crude oil was off to a positive start at $53.05/barrel, up 1.36%, and the US 10 Year Bond jumped 3.9 basis points, to 1.094%.
Stock hung out in negative territory for the entire session. Markets turned steadily lower during late in the morning session with the Dow reaching the low of the day down 740 points, around 1:20 PM. Stocks recovered slightly during the rest of the session to close just off the low.
In today's selloff, all eleven S&P sectors closed the session with sharp losses, led by Energy, Technology, Industrials, Consumer Discretionary, Consumer Staples, Financials, Basic Materials, Communication Services, Real Estate, Healthcare, and Utilities.
Factors Influencing Today's Market
University of Michigan Consumer Sentiment for January ticked down to 79 from 80.70 in December as the Pandemic continues to threaten the economic recovery.
The Game Stop short squeeze dilemma continued unabated in today's session.
Both Asian and European were down sharply in their sessions.
US 10 Year Bond Yield closed at 1.071%, up 1.80%.
WTI crude oil price closed the day at $52.20/barrel, down 0.27%.
This week's Baker Hughes US Oil Rig count rose 6 rigs to 295 total.
Market Close Volume Traded And Advance Decline Ratio
Markets fell sharply again today as investors struggle to understand the fallout if any from the ongoing Game Stop short squeeze dilemma. The Dow plunged 620.74 points, Nasdaq fell 266.46 points, and the S&P lost 73.14 points. Total NYSE volume traded, a moderately heavy 6.71 billion shares. Declining shares outpaced Advancing shares by 2.68:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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