Thursday's Market Recap - Another Spike In The US 10 Year Bond Yield Spooked Investors Today.
- Mar 18, 2021
- 2 min read
What is The Premarket Telling Us?
8:15 AM.
Stock futures are mostly in the red this morning, suggesting markets will be weaker at the open. Dow futures are down 16 points, Nasdaq futures down 211 points, and the S&P futures down 26 points. Investors are responding to a tick-up in bond yields, even as the Fed seems to have calmed inflation fears after yesterday's meeting and the Fed Chair's press conference.
On The Bond Desk:
The US 10 Year Bond Yield at
Currency Desk:
Eurodollar:
UK Pound:
Crude Oil:
WTI crude oil futures at $/barrel, up %.
On the Earnings Calendar:
None to report
In M&A News:
None to report
What About The Asian And European Markets?
Major Asian markets closed with gains overnight. Japan (Nikkei 225) rose1.01%, Shanghai up 0.51%, Hong Kong (Hang Seng) up 1.28%.
Major European markets also closed higher. German (DAX) up 0.25%, France CAC 40 up 0.13%, London FTSE 100 gained 0.25%.
Market And Sector Dynamics
Markets opened lower, in response to a sharp rise in the US 10 Year Bond Yield. The Dow was down 35 points, Nasdaq down 171 points, and the S&P down 24 points. WTI crude oil was down early, at $63.33/barrel, down 1.97%, and the US 10 Year Bond Yield ticked up to 1.738%
The Dow rallied higher during the morning, and mid-afternoon session, before turning lower in the late afternoon and closing at the low of the day. The technology-heavy Nasdaq, traded sharply below the flat line for the entire session, under pressure from the rapidly rising US 10 Year Bond Yield, which ticked higher today, despite Fed Chair Jerome Powell's effort to calm inflation fears yesterday.
In today's session, ten of the eleven S&P sectors closed with losses, led by Energy, Technology, Consumer Discretionary, Communication Services, Real Estate, Basic Materials, Consumer Staples, Healthcare, and Industrials. Financials ended the session higher.
Factors Influencing Today's Market
The US 10 Year Bond Yield ticked higher again today sending technology growth plunging lower.
This week's Initial Jobless Claims shows 770K Americans file new claims for unemployment benefits, which was more than the 700K expected.
Asian and European markets closed with gains today.
WTI crude oil closed sharply lower today at $59.75/barrel, down 7.51%.
Market Close Volume Traded And Advance Decline Ratio
At the end of trading today the major indexes were sharply lower. The Dow lost 153.07 points, Nasdaq plunged 409.03 points, and the S&P lost 58.66 points. Total NYSE volume traded, a moderate 5.07 billion shares. Declining shares outpaced Advancing shares by 2.72:1
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
Comments