Tuesday's Market Recap - Stocks Decline Ahead Of Fed/FOMC Policy Decision On Wednesday.
- cashtonsaunders
- Jun 15, 2021
- 2 min read
What is The Premarket Telling Us?
June 15, 2021 7:30 AM.
Mixed describes the status of US stock futures at this hour. Dow futures down 4 points, Nasdaq futures up 18 points, and S&P futures up 4 points. Markets are mostly muted ahead of the Fed two day June Policy meeting beginning today.
On The Bond Desk:
The US 10 Year Bond Yield at 1.496%, down 0.5 basis points.
Currency Desk:
Eurodollar: 1.21
UK Pound: 1.41
Crude Oil:
WTI crude oil futures at $71.43/barrel, up 0.78%.
On the Earnings Calendar:
None to report
In M&A News:
Oracle reports quarterly earnings results after the closing bell this evening.
What About The Asian And European Markets?
Major Asian markets ended mixed. Japan (Nikkei 225) up 0.96%, Shanghai down 0.92%, Hong Kong (Hang Seng) down 0.71%.
Major European markets ended higher. German (DAX) rose 0.36%, France CAC 40 gained 0.35%, London FTSE 100 gained 0.36%.
Market And Sector Dynamics
Stock opened the trading session mixed to flat. The Dow added 9 points, Nasdaq fell 41 points, and the S&P slipped 3 points. WTI crude oil was up at $71.67/barrel, up 1.11%, and the US 10 Year Bond ticked up to 1.511%.
All three indexes traded and remained below the flat line for most of the session, as investors pulled back, ahead of the Fed/FOMC policy decision for their June meeting, which began today and will end tomorrow with the announcement of their decision. While investors are not expecting a change in interest rates, they will be laser focused on even the slightest hint of language that would suggest the central 'is thinking about, thinking about' tapering (reducing the bank's bond buying regime).
Seven of the eleven S&P sectors closed the session with losses today, led by Real Estate, Technology, Communication Services, Consumer Discretionary, Consumer Staples, Basic Materials, and Healthcare.
Energy, Industrials, Utilities, and Financials finished higher.
Factors Influencing Today's Market
Markets cautious ahead of Fed/FOMC policy decision due out tomorrow afternoon.
Final read for May Producer Price Index (PPI) came in at 0.8% vs 0.5% estimated.
Retail Sales for May came in lower than expected at minus 1.3% vs minus 0.5% expected.
Asian markets ended mixed, while European markets finished with gains.
US 10 Year Bond Yield ended today at 1.489%, down 0.56%.
WTI crude oil price ended today at $72.45/barrel, up 2.22%.
Market Close Volume Traded And Advance Decline Ratio
All three major indexes ended mildly lower in today's session. The Dow lost 94.42 points, Nasdaq fell 101.29 points, and the S&P lost 8.56 points. Total NYSE volume traded, a light 4.09 billion shares. Declining shares outpaced Advancing shares by 1.12:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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