Tuesday's Market Recap - Johnson & Johnson Halts Covid-19 Trial As One Participant Got Sick.
What is The Premarket Telling Us?
7:00 AM.
Stock futures are mixed at this hour, with Dow futures down 125 points, Nasdaq futures up 110 points, and S&P futures down 5 points. Asian stocks were flat, and Hong Kong markets were closed.
On The Bond Desk:
The US 10 Year Bond Yield 0.78%, unchanged.
Currency Desk:
Euro dollar: 1.18
UK Pound: 1.30
Crude Oil:
WTI crude oil futures at $40.16/barrel, up 1.85%.
On the Earnings Calendar:
JPMorgan, and CitiBank reported better than expected third quarter earnings results before the opening bell this morning, to kick off the new earning season.
In M&A News:
None.
What About The Asian And European Markets?
Major Asian markets were flat. Japan (Nikkei 225) gained 0.18%, Shanghai down 0.04%, Hong Kong (Hang Seng) closed.
Major European markets. German (DAX) lost 0.91%, France CAC 40 lost 0.64%, London FTSE 100 down 0.53%.
Market And Sector Dynamics
Stocks opened mixed to lower this morning, as markets try to digest some of yesterday's gains. The Dow fell 86 points, Nasdaq rose 25.98 points, and the S&P fell 2.56 points.
Markets traded negative and choppy for most of the session, with the Dow down 235 points, the intraday low, shortly before 3:00 PM. Markets rebound convincingly from that low level during the last hour, and into the close.
JPMorgan, and CitiBank kicked of third quarter earnings season by beating analyst expectations, before the start of trading. Unfortunately, despite the better than expected earnings, investors sold off shares of both companies. Adding negative sentiment to the markets, investors also learned this morning, that Johnson and Johnson has halted a Covid-19 vaccine trial because one participant fell ill.
Today's selloff was very broad-based, with nine of the eleven S&P sectors closing the day with losses, led by Financials, Real Estate, Energy, Industrials, Basic Materials, Healthcare, Utilities, Technology, and Consumer Staples. Communication Services, and Consumer Discretionary were modestly higher.
Factors Influencing Today's Market
JPMorgan and CitiBank beat third quarter earnings expectation, but shares of both companies soldoff.
Johnson and Johnson announced a hold on one of its Covid-19 vaccine trials because a participant became ill.
Asian and European markets traded mostly lower today.
US 10 Year Bond closed at 0.729%, down 4.56%.
WTI crude oil closed at $40.14/barrel, up 1.80%.
Market Close Volume Traded And Advance Decline Ratio
When trading ended today, markets were all lower. The Dow fell 157.71 points, Nasdaq lost 12.36 points, and the S&P lost 22.29 points. Total NYSE volume traded, a modest 3.76 billion shares. Declining shares outpaced Advancing shares by 2:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance. Wall Street Journal - Market Diary.
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