Tuesday's Market Recap - Geopolitical Tension And Rising Commodity Prices Hurt Market Today.
- cashtonsaunders
- Mar 1, 2022
- 2 min read
What is The Premarket Telling Us?
Tuesday, March 1, 2022, 7:00 AM.
Stock futures were severely weak in the premarket this morning, taking their cue from the geopolitical events in Ukraine. Dow futures were down127 points, Nasdaq futures down 63 points, and S&P futures down 15 points. Major Asian markets ended higher overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 1.839%, unchanged from the prior close.
Currency Desk:
Eurodollar:1.11
UK Pound:1.33
Crude Oil:
WTI crude oil futures at $99.47/barrel, up 3.92%
On the Earnings Calendar:
Kohls and Target reported quarterly earnings before the start of trading this morning.
Salesforce and Sofi will report quarterly earnings after the closing bell today.
In M&A News:
None to report
What About The Asian And European Markets?
Major Asian markets ended their session with gains. Japan (Nikkei 225) up 1.20%, Shanghai up 0.77%, Hong Kong (Hang Seng) added 0.27%.
Major European markets ended lower. German (DAX) down 3.85%, France CAC 40 down 3.94%, London FTSE 100 down 1.72%.
Market And Sector Dynamics
Today's trading session got off to a moderately negative start. The Dow fell 170 points, Nasdaq lost 46 points, and the S&P was down11 points, as Russia intensified its attack on Ukraine, despite continuing heavy sanctions levied by the US and other western countries. Commodity prices surged higher, with crude oil up 5.3%, to 101.11/barrel, while the US 10 Year Bond Yield fell 6 basis points, to 1.779%, in a flight to quality trade.
Stocks remained securely in negative territory from start to finish today. At the low, the Dow was down 775 points, two and a half hours before the close of trading.
Trading was decidedly negative, with nine of the eleven S&P sectors ending the day in negative territory, led by Financials, Basic Materials, Technology, Industrials, Consumer Discretionary, Communication Services, Utilities, Consumer Staples, Healthcare, and Real Estate. Energy ended the day modestly higher.
Factors Influencing Today's Market
Russia intensified its unprovoked attack on Ukraine, sending fear more fear in the global markets.
The US 10 Year Bond Yield pulled back significantly today to close at 1.716%, down 5.82%.
WTI crude oil surged higher today, to close at $106.44/barrel, up 11%.
The final print for February Purchasing Managers Index (PMI) came in at the estimated 57.3.
Market Close Volume Traded And Advance Decline Ratio
Stocks tumbled again today, as Russia doubles down on its attack on Ukraine, even as the US and other western countries stiffen sanctions on that country. Crude oil and other commodity prices rocketed higher. The Dow plunged 597.65 points, Nasdaq sank 218.94 points, and S&P fell 67.68 points. Total NYSE volume traded, was a moderate 5.90 billion shares. Declining shares outpaced Advancing shares by 1.54:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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