Thursday's Market Recap - Markets Sold Off Due To Higher Than Expected US GDP Print.

What is The Premarket Telling Us?

Thursday, January 27, 2022, 7:00 AM.

Stock futures were modestly mixed at early in the premarket. Dow futures were up 39 points, Nasdaq futures were up 61 points, and S&P futures gained 9.75 points.

On The Bond Desk:

The US 10 Year Bond Yield at 1.848%, unchanged

Currency Desk:

Eurodollar: 1.11

UK Pound: 1.33

Crude Oil:

WTI crude oil futures at $88.24/barrel. up 1.02%.

On the Earnings Calendar:

None to report

In M&A News:

None to report.

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What About The Asian And European Markets?

Major Asian markets ended lower. Japan (Nikkei 225) down 3.11%, Shanghai down 1.78%, Hong Kong (Hang Seng) down 1.99%.

Major European markets ended higher. German (DAX) gained 0.42%, France CAC 40 up 0.60%, London FTSE 100 gained 1.13%.

Market And Sector Dynamics

Markets were convincingly positive at the start of trading, with investors becoming more optimistic that stock could be finding a bottom. The Dow gained 285 points, Nasdaq up 151 points, and S&P up 43 points. WTI crude oil started off higher at $88.38/barrel, up 1.18%, and the US 10 Year Bond Yield at 1.837%, down 1.1 basis points. Markets remained comfortably elevated for all of the morning session but went south quite precipitously, in the afternoon, and ended in negative territory.

The markets had to digest a hot GDP print which showed the economy grew at 6.9% vs the 5.7% estimated, and the release of last week's initial jobless claims of 260,000 vs the 265,000 expected.

Today's session was mildly negative with six of the eleven S&P sectors ending with gains, led by Energy, Utilities, Consumer Staples, Basic Materials, Communication Services, and Healthcare. Consumer Discretionary, Real Estate, Industrials, Financials, and Technology bore the brunt of today's losses.

Factors Influencing Today's Market

• After a solid positive start today, the market faded in the afternoon session.

• US GDP rose a more than expected 6.90% vs 5.7% estimated

• Last week's Initial Jobless Claims increased 260,000 vs 265,000 expected.

• US 10 Year Bond Yield closed today at 1.803%, down 3.72%.

• WTI crude oil price closed at $86.81/barrel, down 0.85%.

• Pending Home Sales fell 3.8% vs the 0.6% expected

Market Close Volume Traded And Advance Decline Ratio

Stocks ended today's trading session modestly lower, with the Dow down 7.31 points, Nasdaq sank 189.34 points, and S&P fell 23.42 points. Total NYSE volume traded, a modest 5.20 billion shares. Declining shares outpaced Advancing shares by 2.63:1.

Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.