Monday's Market Recap - Stocks Declined After Perceived Hawkish Comment From Fed Chair Powell.
- cashtonsaunders
- Mar 21, 2022
- 2 min read
What is The Premarket Telling Us?
Monday, March 21, 222, 7:00 AM.
US stock futures were moderately lower early in the premarket. Dow futures were down 133 points, Nasdaq futures down 51 points, and S&P futures down 9 points.
On The Bond Desk:
The US 10 Year Bond Yield was at 2.418%, down 0.044%.
Currency Desk:
Eurodollar: 1.10
UK Pound: 1.31
Crude Oil:
WTI crude oil futures at $107.55/barrel, up 5.80%.
On the Earnings Calendar:
None to report
In M&A News:
None to report
What About The Asian And European Markets?
Major Asian markets ended mixed Japan (Nikkei 225) up 0.65%, Shanghai up 0.08%, Hong Kong (Hang Seng) down 0.89%.
Major European markets closed modestly higher. German (DAX) up 0.60%, France CAC 40 down 0.57%, London FTSE 100 up 0.51%.
Market And Sector Dynamics
Markets were modestly negative at the start of trading. The Dow down 11 points, Nasdaq down16 points, and S&P up 7 points. WTI crude oil headed higher, up 3.87% to $108.75/barrel. The US 10 Year Bond Yield added 8.9 basis points, to 2.237%.
Stocks headed lower with the Dow down more than 200 points for most of the morning session, before sinking even lower in the early afternoon, after the comments attributed to the Fed Chair Powell suggested that the Federal Reserve believes inflation is too high, and they would use every tool at their disposal to effect a soft landing. Investors interpreted these comments as more hawkish in tone than the Fed Chair made after his last meeting. Intraday, the Dow was dived more than 410 points, shortly before 1:30 PM.
On balance, the sectors seemed even today. Six of the eleven sectors closed modestly lower, led by Consumer Discretionary, Communication Services, Real Estate, Technology, Financials, and Healthcare. Energy, Basic Materials, Utilities, Industrials, and Consumer Staples.
Factors Influencing Today's Market
Markets headed lower after a perceived hawkish comment by Fed Chair, Jerome Powell.
US 10 Year Bond Yield ended today at 2.297%, up 6.68%.
WTI crude oil price closed today at $110.62/barrel, up 5.66%.
Major Asian markets closed mixed, while European markets closed mostly lower.
Market Close Volume Traded And Advance Decline Ratio
Stocks closed modestly lower in trading today. The Dow lost 201.94 points, Nasdaq fell 55.38 points, and the S&P lost 1.94 points. Total NYSE volume traded was a light 4.85 billion shares. Declining shares outpaced Advancing shares by 1.53:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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