Thursday's Market Recap - Stocks Rally As Investors Signal They And Feds Are On Same Page.
- cashtonsaunders
- Sep 7, 2022
- 2 min read
Updated: Sep 9, 2022
What is The Premarket Telling Us?
Thursday, September 8, 2022, 7:30 AM.
US stock futures were mostly neutral two hours before the start of trading. Dow futures were up 18 points, Nasdaq futures down 7 points, and S&P was up 0.25 points (a fraction). Major Asian markets ended mixed. Today, the European Central Bank (ECB) hiked its interest rate from zero to 0.75%. US investors took that action in stride.
On The Bond Desk:
The US 10-Year Bond Yield at 3.265%, up 0.075%.
Currency Desk:
Eurodollar: 1.00
UK Pound: 1.15
Crude Oil:
WTI crude oil futures at $82.19/barrel, up 0.31%.
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 2.31%, Shanghai down 0.33%, Hong Kong (Hang Seng) down 1.13%.
Major European markets closed mixed. German (DAX) down 0.09%, France CAC 40 up 0.33%, London FTSE 100 up 0.33%.
Market And Sector Dynamics
Markets opened modestly lower today with the Dow down 201 points, Nasdaq futures down 92 points, and the S&P down 26 points. WTI opened slightly lower at $82.06/barrel, and the US 10 Year Bond at 3.271%, up 0.004%.
Except for a brief period during the midday session, markets traded in the green for the entire day and even ticked higher into the close. Investors appear to have come around to the Fed's way of thinking, that a seventy-five (0.75%) rate hike may be appropriate for markets at their next meeting.
Some surprising and sad news from across the pond hit markets today as we learned that the beloved Queen Elizabeth II had passed away at age 96 throwing the UK, the Commonwealth, and the world in a state of mourning. It was only on Tuesday that she was seen on television, swearing in the new Prime Minister Liz Truss, the fifteenth Prime Minister she had sworn in during her long seventy-three-year reign.
Eight of the eleven S&P sectors ended with gains today, led by Healthcare, Financials, Basic Materials, Consumer Discretionary, Energy, Technology, Industrials, and Real Estate. Communication Services, Consumer Staples, and Utilities ended with losses.
Factors Influencing Today's Market
The European Central Bank (ECB) hiked its interest rate by 0.75% today.
Queen Elizabeth II died today thrusting the inflation-challenged UK into mourning.
The US 10 Year Bond closed lower today at 3.323%, up 1.70%.
WTI crude oil ended today at $82.98/barrel up 1.27%
Major Asian and European markets ended mixed in their sessions
Market Close Volume Traded And Advance Decline Ratio
At the end of trading on Thursday, the major US indexes were all higher. The Dow gained 193.24 points, Nasdaq gained 70.25 points, and the S&P gained 26.31 points. Total NYSE volume traded was a light 3.97 billion shares. Advancing shares outpaced Declining shares by 1.22:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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