Tuesday's Market Recap - Another Day Another Faded Rally.
- cashtonsaunders
- Sep 5, 2022
- 2 min read
What is The Premarket Telling Us?
US stock futures were comfortable positive to begin the shortened holiday trading week. Dow futures were up 220 points, Nasdaq futures were up 83 points, and S&P futures were up 28 points. Over the weekend, the US selected Liz Truss to replace outgoing Prime Minister, Boris Johnson. Asian markets ended their session mixed. Asian markets traded mixed in their session.
On The Bond Desk:
The US 10-Year Bond Yield at 3.193%. down 0.072%.
Currency Desk:
Eurodollar: 0.99
UK Pound: 1.15
Crude Oil:
WTI crude oil futures at $86.38/barrel, down 0.56%.
On the Earnings Calendar:
None to report
In M&A News:
CVS Healthcare to acquire Signify, a home healthcare provider in a deal worth $8 billion. CVS best Amazon to get this deal.
What About The Asian And European Markets?
Major Asian markets ended mixed Japan (Nikkei 225) up 0.02%, Shanghai up 1.36%, Hong Kong (Hang Seng) down 0.12%.
Major European markets closed higher. German (DAX) up 0.87%, France CAC 40 up 0.19%, London FTSE 100 up 0.18%.
Market And Sector Dynamics
US market opened modestly higher to begin the Labor Day Holiday shortened trading week. The Dow up 106 points, Nasdaq up 22 points, and the S&P gained 12 points. WTI $89.02/barrel, and the US 10 Year Bond started off higher at 3.223%.
Stocks failed to hold on to the morning rally with the Dow retreating 266 points at the low of the day. Stocks traded in and out of positive territory for most of the day, before recovering a fraction of the losses in the late afternoon. Concerns about a potential for recession in Europe, further Covid lockdowns in China along with new China economic stimulus,
In today's session, seven of the eleven S&P sectors ended the day with losses, led by Communication Services, Energy, Technology, Consumer Staples, Basic Materials, Consumer Discretionary, and Financials. Real Estate, Utilities, Industrials, and Healthcare ended with gains.
Factors Influencing Today's Market
Russia closed down its European Nordstream One gas pipeline indefinitely, setting the lifting of sanctions as a condition for its reopening.
Report of further Covid lockdown in China as well as new stimulus measures by Chinese authorities.
CVS Health is buying Signify Home Care company in a deal worth $8.00 billion.
US 10-Year Bond Yield closed today at 3.351%, up 3.96%.
WTI crude oil ended today at $86.77/barrel, down 2.46%.
Market Close Volume Traded And Advance Decline Ratio
When trading ended today, the major indexes were modestly lower. The Dow lost 173.14 points, Nasdaq lost 85.96 points, and the S&P lost 16.07 points. Total NYSE volume traded was a light 4.13 billion shares. Declining shares outpaced Advancing shares by 2.13.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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