Wednesday's Market Recap - Stock Sold Off In Today's Session Even As The 10 Year Bond Pulls Back.
- Mar 24, 2021
- 2 min read
What is The Premarket Telling Us?
8:35: AM.
The US stock futures are mixed at this hour, with Dow futures down 59 points, Nasdaq futures up 96 points, and the S&P futures up 3 points. Asian markets ended lower overnight.
On The Bond Desk:
The US 10 Year Bond Yield at 1.63%, down 0.1%
Currency Desk:
Eurodollar: 1.19
UK Pound: 1.38
Crude Oil:
WTI crude oil futures at $59.31/barrel, up 2.68%.
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 with losses. Japan (Nikkei 225) down 2.04%, Shanghai down 1.30%, Hong Kong (Hang Seng) down 2.03%.
Major European markets were mixed in their session. German (DAX) fell 0.35%, France CAC 40 up 0.03%, London FTSE 100 up 0.02%.
Market And Sector Dynamics
The markets began the trading day higher, with the Dow up 90 points, Nasdaq gained 51 points, and the S&P gained 14 points. WTI crude oil was off to a positive start, at $59.73/barrel, up 3.47%. The US 10 Year Bond Yield was modestly higher at 1.644%, up 0.6 basis points.
The Dow soared even higher after the opening bell, with the major index hitting a high of 360 points, shortly after 11:00 AM. Shares of energy-related, industrials, materials, and financial companies rallied.
Markets held on to that level for most of the session, before selling off in the last two hours of trading, ending just below the flat line.
It's not entirely clear why the markets sold off today, especially, since the US 10 Year Bond Yield has been subdued over the last two days, and crude oil regained some lost ground. Perhaps the markets may be consolidating recent gains.
Six of eleven S&P sectors closed the session with losses, led by Communication Services, Consumer Discretionary, Technology, Basic Materials, Real Estate, and Healthcare. Energy, Industrials, Basic Materials, and Financials ended the session lower.
Factors Influencing Today's Market
Fed Chair, Jerome Powell, and Treasury Secretary, Janet Yellen testified virtually before the Senate Banking Committee this morning and reiterated some of the same themes of their earlier testimony before the house two days ago. Investors did not react one way or the other regarding their testimony.
US 10 Year Bond Yield ended today at 1.614%, down 0.53%.
WTI crude oil closed higher at $60.55/barrel, up 4.83%.
Asian markets ended with losses today, while European markets ended mixed.
This week's US Crude Oil Inventories grew by1.9 million barrels vs 2.4 million barrels last week.
Market Close Volume Traded And Advance Decline Ratio
The bears overpowered the bull again today. At the close of trading, the Dow slipped 3.09 points, Nasdaq 265.01 points, and the S&P lost 21.38 points. Total NYSE volume trades, a moderate 4.75 points. Declining shares outpaced Advancing shares by 1.30:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
Comments