Friday's Market Recap - Stocks Rallied Today As Retail Sales And Consumer Sentiment Disappoints.
What is The Premarket Telling Us?
May 14, 2021 7:15 AM.
Stock futures are moderately elevated at this hour, suggesting a continuation of yesterday's solid rally. Dow futures are up 134 points, Nasdaq futures up 130 points, and the S&P up 24 points. Asian markets ended solidly higher ahead of the opening of our markets.
On The Bond Desk:
The US 10 Year Bond Yield at 1.668%, down 0.03%.
Currency Desk:
Eurodollar:1.21
UK Pound: 1.40
Crude Oil:
WTI crude oil futures at $64.56/barrel, up 1.16%.
On the Earnings Calendar:
Disney reported after the bell yesterday. The company beat analyst earnings and revenue estimates, but net subscriptions came in short of expectations, sending shares lower in today's session.
In M&A News:
None to report
What About The Asian And European Markets?
Major Asian markets were decidedly higher in their session. Japan (Nikkei 225) up 2.37%, Shanghai up 1.77%, Hong Kong (Hang Seng) up 1.11%
Major European markets were also comfortably higher. German (DAX) gained 1.33%, France CAC 40 up 1.54%, London FTSE 100 up 1.15%.
Market And Sector Dynamics
Markets opened convincingly higher, with the Dow surging 225 points, Nasdaq soaring 139 points, and the S&P up 33 points. WTI crude oil was also off to a higher start at $64.42/barrel, up 1.24%, and the US 10 Year Bond ticked slightly lower to 1.639%, down 2.9 basis points.
Stock traded steadily higher throughout the session, as investors appear convinced that the sell off over the last few weeks has come to an end. Retail sales for April came in lower than estimated, disappointing investors, who were looking for a higher number. Consumer sentiment also fell in May, as rising inflation fears seem to have abated, allowing growth stocks to regain some of their former momentum.
Today's rally saw all eleven S&P sectors ending the session with solid gains, led by Energy, Technology, Consumer Discretionary, Communication Services, Financials, Industrials, Basic Materials, Consumer Staples, Real Estate, Utilities, and Healthcare.
Factors Influencing Today's Market
April retail sales came in lower than expected, as did May Consumer Sentiment which seem to have calmed the recent fear of inflation.
High growth stocks seized the opportunity to rally.
Asian and European markets ended solidly higher in their sessions.
Disney Plus's net subscriber growth disappointed investors, sending shares lower.
US 10 Year Bond Yield ended the day at 1.635%, down 1.44%.
WTI crude oil prices ended the day at $65.37/barrel, up 2.43%.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading today, the markets were decidedly higher. The Dow gained 360.68 points, Nasdaq gained 304.99 points, and the S&P gained 61.35 points. Despite today strong market performance, stocks lost ground for the week. Total NYSE volume traded today, a modest 4.04 billion shares. Advancing shares outpaced Declining shares by 4.14:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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