Tuesday's Market Recap - Stocks Staged A Strong Rally Ahead Of Biden/Harris Inauguration Tomorrow.

What is The Premarket Telling Us?

7:45 AM.

Markets were closed yesterday, due to the celebration of the Martin Luther King Holiday. US stock futures are moderately higher at this hour. Dow futures are up 204 points, Nasdaq futures up 99.75 points, and S&P futures up 26 points. Asian markets ended mostly higher.

On The Bond Desk:

The US 10 Year Bond Yield at 1.10%, down 0.03%.

Currency Desk:

Eurodollar: 1.20

UK Pound: 1.36

Crude Oil:

WTI crude oil futures at $52.55/barrel, up 0.25%.

On the Earnings Calendar:

Goldman Sachs blew away fourth-quarter earnings.

Netflix reports fourth-quarter earnings results after the bell today.

In M&A News:

None.

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What About The Asian And European Markets?

Major Asian markets ended mostly higher. Japan (Nikkei 225) up 1.39%, Shanghai down 0.83%, Hong Kong (Hang Seng) up 2.70%

Major European markets closed modestly lower. German (DAX) lost 0.24%, France CAC 40 down 0.33%, London FTSE 100 fell 0.11%.

Market And Sector Dynamics

Markets opened the trading session significantly higher. The Dow surged 250 points, Nasdaq soared 133 points, and the S&P 30 points. WTI crude oil got off to a higher start at $52.83/barrel, up 0.90%, and US 10 Year Bond at 1.112%.

Stocks reached the intraday high, ten minutes into the session, with the Dow up 272 points. Stocks were choppy during the morning session as the confirmation hearings began in the Senate for Janet Yellen, the nominee for Treasury Secretary, as well as two other nominees. Stocks rallied shortly before noon and remained at those elevated levels for the remainder of the session.

Today's rally was very positive with eight of the eleven S&P sectors ending the session with gains led by, Energy, Communication Services, Technology, Healthcare, Consumer Discretionary, Financials, Materials, and Industrials. Real Estate, Consumer Staples, and Utilities.

Factors Influencing Today's Market

• Strong fourth-quarter earnings results from Goldman Sachs.

• The Senate held a confirmation hearing this morning nominee for Treasury secretary, Janet Yellen. Investors seem convinced that the former Fed Chair will be the key to help land the proposed 1.9 trillion Biden stimulus plan.

• US 10 Year Bond Yield closed at 1.092%, down 0.77%.

• WTI crude oil closed at $53.12/barrel, up 1.45%.

• Asian markets ended mostly higher, while European markets were mildly lowe

Market Close Volume Traded And Advance Decline Ratio

Markets closed in solidly positive territory today. The Dow rose 116.26 points, Nasdaq soared 198.68 points, and S&P up 30.66 points. Total NYSE volume traded, a moderate 5.03 billion shares. Advancing shares outpaced Declining shares nearly 2:1.

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Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.