Thursday's Market Recap - Stocks Recover A Portion Of Yesterday's Losses.
- Jan 28, 2021
- 2 min read
What is The Premarket Telling Us?
7:45 AM.
US stock futures are mixed to modestly lower at this hour. Dow futures are up14 points, Nasdaq futures down 67 points, and S&P futures are down 5 points. Asian markets ended Thursday's session lower.
On The Bond Desk:
The US 10 Year Bond Yield at 1.014%,
Currency Desk:
Eurodollar: 1.21
UK Pound: 1.36
Crude Oil:
WTI crude oil futures $52.63/barrel, down 0.42%.
On the Earnings Calendar:
Apple blew out quarterly earnings and revenue expectations, with revenues for the quarter surpassing $11 Billion.
Facebook also reported another great quarter
Tesla also reported quarterly results. The EV maker missed earnings estimates, but revenues beat expectations.
In M&A News:
None to report.
What About The Asian And European Markets?
Major Asian markets ended their session with losses. Japan (Nikkei 225) down 1.53%, Shanghai down 1.91%, Hong Kong (Hang Seng) down 2.57%
Major European markets also ended mixed.German (DAX) gained 0.33%, France CAC 40 up 0.93%, London FTSE 100 fell 0.63%.
Market And Sector Dynamics
Markets got off to a flying start at the open, with the Dow soaring 270 points, Nasdaq gained 77 points, and the S&P gained 31 points. WTI crude oil opened at $53.43/barrel, up 1.12%, while the US 10 Year Bond Yield at held at 1.042%.
Shares of Facebook and Apple rallied early, after both companies reported strong quarterly results after the bell last evening. Stock continued climb from the open with the Dow reaching a high of 625 points, shortly after midday. Market held at these levels for most of the session, before gradually giving back some of these gains in the last two hours of trading.
The Game Stop short squeeze story continued to dominate market news, as some brokerage houses slapped restrictions on the trading shares of Game Stop, AMC, and a few other target companies.
All eleven S&P sectors ended with moderate gains in today rally, led by Financials, Basic Materials, Industrials, Healthcare, Communication Services, Energy, Utilities, Consumer Staples, Technology, and Real Estate.
Factors Influencing Today's Market
The Game Stop short squeeze problem continued today with some brokerages restricting traders from buying shares of some of the targeted companies, in some cases allowing only liquidating (sell) transactions.
Despite reporting strong earnings results Apple and Facebook failed to rally in the session.
This week's Initial Jobless Claims show 847,000 new American applied for unemployment benefits, which was slightly less than the 875,000 estimates.
Fourth Quarter GDP grew 4.0% vs 4.1% estimated.
Asian markets closed the session with losses, while European markets were mixed.
US 10 Year Bond Yield closed at 1.047%, up 3.35%.
WTI crude oil prices closed at $52.23/barrel, down 1.17%.
Market Close Volume Traded And Advance Decline Ratio
Following yesterday's surprise selloff, markets enjoyed a solid rally today. At the closed the Dow gained 300.19 points, Nasdaq gained 66.56 points, and the S&P added 36.61 points. Total NYSE volume traded, a heavy 6.88 billion shares. Advancing shares outpaced Declining shares by 2.28:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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