Monday's Market Tear Sheet - Investors Pushed Stocks Higher As Fear Of Recession Subsides.
- cashtonsaunders
- Aug 15, 2022
- 2 min read
What is The Premarket Telling Us?
Monday, August 15, 2022, 7:10 AM.
Stock index futures were moderately lower a little less than two hours before the start of trading. Dow futures were down 150 points. Nasdaq futures down 32 points, and S&P futures were down 18 points. Asian markets were mixed overnight.
On The Bond Desk:
The US 10-Year Bond Yield at 2.949%, down 0.039%
Currency Desk:
Eurodollar: 1.02
UK Pound: 1.20
Crude Oil:
WTI crude oil futures at $87.61/barrel, down 4.86%.
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 1.14%, Shanghai down 0.02%, Hong Kong (Hang Seng) down 0.67%.
Major European markets closed modestly higher. German (DAX) up 0.15%, France CAC 40 up 0.25%, London FTSE 100 up 0.11%.
Market And Sector Dynamics
US stocks opened Monday's trading session below neutral, and remained at that level for the duration of the morning session, but rebounded just before noon and traded comfortably above the flat line for the rest of the session into the closing bell. The Dow opened down 152 points, Nasdaq down35 points, and the S&P lost 19 points.
Market bias has been to the upside over the last two to three weeks as investors discount the chances of a recession this year. The recent decline in crude oil prices and mostly subdued bond yields have allowed growth stocks to rally.
Market tone became increasingly positive and the volume was light, during the session. Nine of the eleven S&P sectors ended the day in positive territory, led by Consumer Staples, Utilities, Technology, Consumer Discretionary, Healthcare, Communication Services, Real Estate, Industrials and Financials. Energy and Basic Materials ended with losses.
Factors Influencing Today's Market
Investors were betting that the Fed will be less aggressive with their interest rate hikes for the rest of this year and next year.
Asian markets ended mixed, while European markets were modestly higher.
US 10 Year Bond Yield ended the day at 2.793%, down 1.72%.
Today's closing price for WTI crude oil was 89.41/barrel, down 2.91%.
Market Close Volume Traded And Advance Decline Ratio
When the markets closed today, US indexes were higher. The Dow gained 151.39 points, Nasdaq gained 80.87 points, and S&P added 16.99 points. Total NYSE volume traded was a light 3.71 billion shares. Advancing shares outpaced Declining shares just better than even.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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