Wednesday's Market Recap - Stock Rally While Trump's Mob Attacks And Rampage The US Congress.
What is The Premarket Telling Us?
8:45 AM.
The US 10 Year Bolnd Yieldmixed at this hour, forty-five minutes before the start of trading. Dow futures are up a modest 46 points, Nasdaq futures down a notable 176 points, and the S&P futures down 9 points. Overnight, the Democrat Senate candidate Raphael Warnock is the projected winner of one Georgia seat, and the other candidate Joh Ossoff is leading comfortably in the other. A big win for the Democrats, who will now become the majority control of the Senate, with Vice President-elect Harris the tiebreaking vote in the Senate.
On The Bond Desk:
The US 10 Year Bond Yield at 1.02%, up 0.08%
Currency Desk:
Eurodollar: 1.22
UK Pound: 1.36
Crude Oil:
WTI crude oil futures at $50.02/barrel, up 0.18%.
On the Earnings Calendar:
None to report.
In M&A News:
None to report.
What About The Asian And European Markets?
Major Asian markets ended higher. Japan (Nikkei 225) down 0.38%, Shanghai up 0.63%, Hong Kong (Hang Seng) up 0.15%
Major European markets were higher. German (DAX) up 1.76%, France CAC 40 up 1.19%, London FTSE 100 up 3.47%.
Market And Sector Dynamics
Markets opened today's trading session lower. The Dow fell 29 points, Nasdaq fell 40 points, S&P down 15 points. WTI crude oil prices $49.85/barrel, down 0.14%, and the US 10 Year Bond Yield ticked up to 1.015%.
Yesterday's Georgia election runoff for its two Senate seats ended with the two Democratic candidates The Reverend Raphael Warnock, and Jon Ossoff winning both seats, forcing investors to decipher what this means for markets today and in the future.
Shares of technology companies came under heavy pressure early in the session, as the market tried to find its trading rhythm for today . One bright spot for the markets this morning was a New York Stock Exchange (NYSE) announcement that it had reversed a planned delisting of three Chinese companies; China Moblie, China Telecom, and China Unicorn.
Half an hour into the session stocks soared higher with the Dow up near 350 points, the intraday high. Stocks pulled back slightly from that level, but maintained that elevated level for the rest of the session, into the closed.
Also, today markets brushed off the storming of the US Congress by Trump supporters who broke windows, doors, roamed the halls and chambers, ransacked, the offices, stole items, injured Capital Police, who were overwhelmed and outmanned by the mob. President Trump encouraged his supporters to come to Washington, he attended and spoke at the rally, and encouraged the mob to march to Capitol Hill, while Congress was going through the process of formally certifying Joe Biden and Kamala Harris, as President and Vice President of the United States of American. This insurrection left four people dead, including one young female member of the mob being shot by the Capitol Police.
Today's rally was mostly positive relatively broad-based with seven of the eleven S&P sectors ending the day with gains, led by Financials, Basic Materials, Industrials, Energy, Utilities, Healthcare, and Consumer Discretionary. Technology, Communication Services, Real Estate, and Consumer Staples were the laggards today.
Factors Influencing Today's Market
The Democratic candidates have won both Georgia runoff Senate seats.
A mob of President Trump's supporters led an undemocratic, insurrectionist attack on the Congress of the USA.
The NYSE announced it had reversed its decision to delist three Chinese companies that trade on its exchange.
The US 10 Year Bond has started to tick higher, closing today at 1.039%, up 8.8%.
WTI crude oil closed at $50.63/barrel, up 1.20%.
Market Close Volume Traded And Advance Decline Ratio
The major markets ended mixed in today's session. The Dow surged 437.80 points, Nasdaq lost 78.16 points, and the S&P rose 21.28 points. Total NYSE volume traded, a heavy 6.16 billion shares. Advancing shares outpaced Declining shares by 1.75:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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