Monday's Market Recap - Today's Winning Trifecta: Earnings, Stimulus, And Vaccines.
- Feb 8, 2021
- 2 min read
What is The Premarket Telling Us?
7:45 AM.
US stock futures are all higher this morning. Dow futures up 123 points, Nasdaq up 43 points, and S&P up 13 points. Asian markets finished higher overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 1.17%, up 0.03%
Currency Desk:
Eurodollar: 1.20
UK Pound: 1.37
Crude Oil:
WTI crude oil futures at $57.54/barrel, up 1.21%.
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 with gains. Japan (Nikkei 225) up 2.12%, Shanghai up 1.03%, Hong Kong (Hang Seng) up 0.11%.
Major European markets were solidly higher. German (DAX) up 0.53%, France CAC 40 0.47%, London FTSE 100 up 0.53%.
Market And Sector Dynamics
Markets started the day with moderate gains, with the Dow up 118 points, Nasdaq up 76 points, and the S&P added 17 points. Crude oil extended its gains early, at $57.44/barrel, up 1.04%, while the US 10 Year Bond ticked about the 1.177% level.
Markets appears to have formed a consensus around three major catalysts. One, corporate earnings, which have been improving, with the outlook for economic recovery in the second half of the year even better than originally thought. Two, the Administration's $1.9 billion stimulus could be passed soon, a further boost to the economy. Three, the Administration has ramped up vaccine production and is also ramping up vaccinations, in a race against the clock, to get all Americans who want a vaccine, to get it, by summer. to get one.
Stocks remained firmly in positive territory for the duration of the session, ticking higher into the close of the session.
The bulls enjoyed another solid day of gains, with ten of eleven S&P sectors ending with gains, led by Energy, Financials, Technology, Industrials, Basic Materials, Consumer Staples, Consumer Discretionary, Communication Services, Real Estate, and Healthcare. Utilities ended the day lower.
Factors Influencing Today's Market
Strong corporate earnings, Biden's $1.9 billion stimulus, and vaccine rollout were the trifecta for markets today.
Rallying crude oil prices boosted shares of energy-related companies in the session.
Both Asian and European markets ended solidly higher today.
US 10 Year Bond Yield ended the day at 1.176%, up 0.15%.
WTI Crude Oil price closed at $58.05/barrel, up 1.15%.
Market Close Volume Traded And Advance Decline Ratio
At the end of today's trading session, all the indexes closed with record gains. The Dow gained 237.52 points, Nasdaq gained 131.35 points and the S&P up 28.76 points. Total NYSE volume traded, a
modest 4.07 billion shares. Advancing shares outpaced Dwclining shares by 2.73:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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