Wednesday's Market Recap - Dow Ends Higher, But Nasdaq And S&P Ends With Mild Losses.
- cashtonsaunders
- Jul 13, 2021
- 2 min read
What is The Premarket Telling Us?
July 14, 2021 6:52 AM.
Stock futures are mostly mixed to flat at this hour, with Dow down 6 points, Nasdaq up 48 points, and the S&P futures up 3 points. Asian markets closed lower overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 1.415%, up 0.05%.
Currency Desk:
Eurodollar: 1.18
UK Pound: 1.38
Crude Oil:
WTI crude oil futures at $74.78/barrel, down 0.62%.
On the Earnings Calendar:
Bank earnings continued this morning with Bank of America, Citibank, and Wells Fargo reporting before the opening bell.
In M&A News:
None to report
What About The Asian And European Markets?
Major Asian markets ended lower in their sessions. Japan (Nikkei 225) down 0.38%, Shanghai down 1.07%, Hong Kong (Hang Seng) down 0.67%.
Major European markets ended mildly lower. German (DAX) was flat, France CAC 40 flat %, London FTSE 100 down 0.47%.
Market And Sector Dynamics
Markets were convincingly higher at the open. The Dow gained 140 points, Nasdaq gained 93 points, and the S&P rose 18 points. WTI crude oil started off $75.11/barrel, down 0.19%, while the US 10 Year Bond Yield hovered at 1.37%.
Today, markets were responding to solid earnings from the big banks, Bank of America, Citibank, and Wells Fargo. All three banks reported better than earnings results this morning, before the opening bell. Markets gradually turned lower during the morning session, turning negative shortly before noon, with the Dow down more than 60 points, while Fed Chair Jerome Powell, testified before the House Banking Committee, which concluded around 3:00 PM. Stocks returned to positive territory a few minutes later, and managed to hold on to those gains into the close of trading.
Today's trading session was mostly balanced, with six of the eleven S&P sectors ending with losses, led by Energy, Financials, Healthcare, Basic Materials, Consumer Discretionary, and Industrials. Consumer Staples, Real Estate, Utilities, Technology, and Communication Services.
Factors Influencing Today's Market
Fed Chair, Jerome Powell testified virtually, before the House Banking Committee today, and reiterated the FOMC's policy stance that inflation is transitory in nature.
Strong quarterly earnings results from Bank of America, Citibank, and Wells Fargo, before the opening bell this morning.
June's Producer Price Index (PPI) rose 1.0%, an increase over the 0.8 in May, and better than the 0.6% consensus estimate
US 10 Year Bond Yield closed lower at 1.349%, down 4.87%.
WTI crude oil closed today at $72.80/barrel, down 3.26%.
This week's EIA Petroleum Status Report shows US crude oil inventories fell -7.9 million barrels vs -6.9 million barrels in the prior week.
Market Close Volume Traded And Advance Decline Ratio
Markets ended mixed today. The Dow gained 44.44 points, Nasdaq fell 32.70 points, and the S&P added 5.09 points. Total NYSE volume traded, a light 4.03 billion shares. Declining shares outpaced Advancing shares by 1.35:1
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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