Wednesday's Market Recap - Stocks Soar On Vaccination And Imminent Stimulus Optimism.
- Feb 24, 2021
- 2 min read
What is The Premarket Telling Us?
7:15 AM.
US stock futures are moderately in the green at this hour, suggesting that stocks could be positive at market open. Dow futures are up 50 points, Nasdaq futures up 36 points, and the S&P up 10 points. Asian markets ended lower in their session.
On The Bond Desk:
The US 10 Year Bond Yield at 1.36%, down 0.01%.
Currency Desk:
Eurodollar: 1.21
UK Pound: 1.41
Crude Oil:
WTI crude oil futures at $/barrel, up %.
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 Japan (Nikkei 225) fell 1.61%, Shanghai down 1.99%, Hong Kong (Hang Seng) lost1.99%.
Major European markets ended higher. German (DAX) gained 0.80%, France CAC 40 gained 0.31%, London FTSE 100 gained 0.50%.
Market And Sector Dynamics
Markets started the day lower with the Dow down 20 points, Nasdaq down 65 points, and the S&P fell 5 points. Vaccination optimism was enhanced this morning as the FDA lauds the efficacy and safety of Johnson & Johnson's one-dose Covid-19 vaccine. The results will now be sent to the outside reviewers for their review, which could lead to Emergency Use Authorization, by the weekend.
Stocks opened slightly in negative territory, but quickly turned around a little less than an hour later, and did not look back. Markets gained momentum throughout the entire session, to close near the high of the day. At the low, the Dow was down about 100 points, while the intraday high was 470 points.
Investors put the concern about rising interest rates and inflation on the back burner today, preferring to focus on the imminent passage of President Biden's Covid relief $1.9 trillion plan, which could happen this week.
Today's rally saw nine of the eleven S&P sectors closed the day with moderate gains, led by Energy, Financials, Industrials, Technology, Basic Materials, Consumer Discretionary, Healthcare, Real Estate, and Communication Services.
Factors Influencing Today's Market
The FDA announced again this morning the Johnson & Johnson one-dose Covid-19 vaccine was safe and efficacious. This new vaccine candidate could now join the US arsenal of Pfizer, and Moderna vaccines already being utilized.
Lowe's reported strong quarterly results, led by better than expected same store sales.
US 10 Year Bond Yield closed the day at 1.381%, up 2.97%.
WTI crude oil closed today at $63.55/barrel, up 3.05%.
Asian markets ended with losses in today's session.
Market Close Volume Traded And Advance Decline Ratio
US markets had a strong positive showing today. The Dow soared 424.51 points, Nasdaq gained 132.77 points, and the S&P rose 44.06 points. Total NYSE volume traded, a heavy 5.89 million shares. Advancing shares outpaced Declining shares by 2:1.
Data Sources: Bloomberg, CNBC, CNN Money, Google Finance, Market Watch, TD Ameritrade, Yahoo Finance.
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