Monday's Market Recap - Stock Rallied Big Today On Strong Earnings From Chlorox.
What is The Premarket Telling Us?
7:00 AM.
One could characterize stock futures as being highly elevated at this hour. Dow futures up 496 points, Nasdaq up 141 points, and the S&P futures up 52 points.
On The Bond Desk:
The US 10 Year Bond Yield at 0.86%, up 0.02%.
Currency Desk:
Euro dollar: 1.16
UK Pound: 1.29
Crude Oil:
WTI crude oil futures at $34.84/barrel, down 2.65%.
On the Earnings Calendar:
Cholox reported better than expected quarterly results before the bell this morning.
In M&A News:
Inspire Brands has agreed to acquire Dunkin Brands in a $106.50/share all-cash deal.
What About The Asian And European Markets?
Major Asian markets ended their sessions higher. Japan (Nikkei 225) up 1.39%, Shanghai up 0.02%, Hong Kong (Hang Seng) gained 1.46%.
Major European markets ended higher today. German (DAX) gained 2.01%, France CAC 40 up 2.11%, London FTSE 100 up 1.29%.
Market And Sector Dynamics
Markets were impressively higher at the open, on the day before tomorrow's Presidential Election. The Dow soared 355 points, Nasdaq gained 94 points, and the S&P was up 39 points. WTI crude is lower at the start, down nearly 1% at $34.46/barrel, and the US 10 Year Bond is hovering at 0.838%.
Better than expected earnings results, and the acquisition of Dunkin Brands, by Inspire Brands is a positive for markets today. Inspire Brands is the restaurant holding company that owns Arby's, Buffalo Wild Wings, Jimmy John's, and Sonic.
Markets were in risk-on mode from the open and gaped even higher with the Dow up 530 points one hour after the opening bell. Stocks remained at those elevated levels during the morning, and early afternoon session, but unfortunately, gave back most of the gains by 2:00 PM, with the Dow up 200 points. Markets regained momentum later in the session, and the Nasdaq which went negative intraday, returned to positive territory.
All eleven S&P sectors closed the session with gains, led by Energy, Basic Materials, Industrials, Real Estate, Utilities, Financials, Healthcare, Consumer Staples, Technology, Consumer Discretionary, and Communication Services.
Factors Influencing Today's Market
Clorox delivered a better than expected quarterly earnings performance, sending shares of the company higher.
Inspire Brands has agreed to buy Dunkin' Brands for $106.50/share in an all-cash deal.
Markets appear to be signaling its comfort with the possibility of a Biden presidency.
Asian and European markets traded higher in their session.
US 10 Year Bond closed the day at 0.852%, down 0.78%.
WTI crude oil closed at $37.06/barrel, up 9.0%.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading the Dow soared 423.45 points, Nasdaq gained 46.02 points, and the S&P rose 40.28 points. Total NYSE volume traded, a moderate 4.36 billion shares. Advancing shares outpaced Declining shares by 2.85:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance. Wall Street Journal - Market Diary.
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