US Market Archives - Page 60 of 155

Tech like an anchor on stocks

The shape of the US equity selloff continues to be a story unto itself. The Nasdaq plunged 2.7% to finish on the lows while the Russell was down 0.5% and the Dow just 0.4%. Overall, the S&P 500 was down 50 points to 3819, or 1.3%.

The drop today wipes out most of the huge gain on Monday (which was the largest since June).

The trend/wedge is back in the crosshairs ahead of Powell tomorrow. I’m increasingly convinced that he’s going to brush of the rise in yields. If that combines with OPEC+ rolling over cuts, then there’s a great case for higher yields and more pain in stocks.

Dow jones : 3 black crows could be a real possibility come monday ..

27-Feb-21 03:59 pm

Anirudh Sethi

Late selling sends US equities into the red despite bond market reversal

27-Feb-21 07:56 am

Anirudh Sethi

Closing changes for the main North American indexes

Yields finished near the lows of the day and about 20 minutes before the close that looked like it was going to spill into equities as they quickly jumped but right at the end of the day there was some hard selling

S&P 500 -0.5%
DJIA -1.5%
Nasdaq +0.6%
Russell 2000 +1.0%
TSX Comp -0.7%

On the week:

S&P 500 -2.5%
DJIA -1.8%
Nasdaq -4.9%
Russell 2000 -2.0%
TSX Comp -1.5%

On the month:

S&P 500 +2.6%
DJIA +3.15%
Nasdaq +0.9%
Russell 2000 +7.0%
TSX Comp +4.8%

The jitters are returning ahead of North American trading

26-Feb-21 07:07 pm

Anirudh Sethi

US futures turn lower, dollar stays more bid as commodity currencies sink

S&P 500 futures have turned lower, down by 0.5%, while Nasdaq futures have also pared its earlier advance (following a turnaround) to be down 0.7%.

The jitters are still evident in the market as we await Wall Street to enter the fray.

In the major currencies space, the dollar is soaring against the commodity currencies with USD/CAD rising from 1.2600 earlier to 1.2685. Meanwhile, AUD/USD has dropped by over 1.5% from 0.7800 to 0.7730.

It is up to Wall Street to have their say now, as it looks like Asia and Europe aren’t able to settle on a firm narrative and what to make of yesterday’s tornado.

Update (1230 GMT): US futures back to flat levels again now. It’s gut check time.

As Expected complete Bloodbath at #WALLTREET

26-Feb-21 05:17 am

Anirudh Sethi

Closing changes in US equities:

S&P 500 down 92 points to 3833 (-2.3%)
Nasdaq -3.3%
DJIA -1.6%
Russell 2000 -3.8%

The bond market is a mess:

2s +5 bps to 0.17%
5s +22 bps to 0.82%
10s +15 bps to 1.53%
30s +6 bps to 2.29%

There are a multitude of ways to spin this but this is a market that suddenly wants to reassurances from the Fed that they won’t let yields run too far too fast. There’s also very good argument that convexity hedging in the mortgage market combined with dealer selling after the auction is responsible for a good chunk of this move.

The good news is that the S&P 500 and Nasdaq both closed above Tuesday’s low. The bad news is that tomorrow is the PCE report and if inflation is high, those levels aren’t likely to hold.

Poll shows analysts expect another (approx) 6% higher for the S&P500 this year

25-Feb-21 07:46 am

Anirudh Sethi

Reuters polling on US equities, with the headline median forecast from 50 analysts showing

S&P500 expected to finish 2021 at 4,100
expected to be at 4,000 by end-June

And adds:

some strategists warning of a possible surge in inflation, many viewed a correction in stocks in the next six months as likely or very likely.
Progress in distribution of the coronavirus vaccine coupled with President Joe Biden’s proposed $1.9 trillion package for pandemic relief have boosted the outlook for the economy and earnings.

Dow Jones industrial average

will finish this year at 32,970

Risks highlighted include:

inflation concerns
higher taxes as the economy accelerates

On higher yields:

“Higher bond yields aren’t turning us bearish on the year,” Lori Calvasina, head of U.S. equity strategy at RBC Capital Markets … “What the increase in yields does do, in our view, is provide another justification for rotation out of defensives and secular growth.”

US stocks close sharply higher. Dow industrial average closes at a record high

25-Feb-21 05:34 am

Anirudh Sethi

Russell 2000 index rises by 2.38%

The major stock indices all closed sharply higher with the Russell 2000 of small-cap stocks outperforming with a gain of 2.38%. The Dow industrial average is closing at a record high of 31961.86. It reached an intraday all-time high of 32009.64.

A look at the closing levels shows

Russell index up 53.08 points or 2.38% at 22840.40
NASDAQ index up 132.77 points or 0.99% at 13597.97
S&P index up 43.98 points or 1.13% at 3925.35
Dow industrial average up 424.51 points or 1.35% at 31961.86. The all-time high reached 32009.64

A blast from the past – well a a few weeks ago – Gamestop trading was halted with the price up 103% to $91.

Although higher, the NASDAQ index fell short of reaching its 200 hour moving average at 13612.098. The high price reached 13607.36. A move above that level would tilt the technical bias more to the upside in the intermediate-term. The price of the NASDAQ index tumbled close below the 200 hour moving average on Monday and open sharply lower on Tuesday testing the low price from January 29 and bouncing. Today, the pair opened lower again, but moved higher through the day, and closed near the highs.

As Expected US Major indices close well off session lows

24-Feb-21 05:16 am

Anirudh Sethi

NASDAQ closes lower for the 5th time in 6 trading days

S&P index and Dow industrial average moved higher on the day, but the NASDAQ continued its moved to the downside.

S&P index closed higher for the 1st time in 6 trading days
NASDAQ index closed lower for the 5th time in 6 trading days
Dow industrial average is now up for 3 consecutive days

The NASDAQ index although lower on the day by -0.5%, traded as low as -3.91%.

The final numbers are showing:

S&P index +4.87 points or 0.13% at 3881.37. The low price reached 3805.59. The high price extended to 3895.98
NASDAQ index fell -67.849 points or -0.5% at 13465.19. The low reached 13003.98. The high price extended to 13526.09
Dow industrial average rose 15.66 points or 0.05% at 31537.35. The low price extended to 31158.76. The high price reached 31653.38
The Russell 2000 was the worst performer today. It fell -19.76 points or -0.88% to 2231.31. The low price reached 2169.078. The high price extended to 2248.41.