S&P 500 ekes out gain in front of holiday weekend
22-May-20 16:20 ET
Dow -8.96 at 24465.16, Nasdaq +39.71 at 9324.61, S&P +6.94 at 2955.32
briefing.com
[BRIEFING.COM] The major indices closed near session highs on Friday, preserving their weekly gains in front of the Memorial Day weekend. The S&P 500 increased 0.2%, the Nasdaq Composite increased 0.4%, and the Russell 2000 increased 0.6%. The Dow Jones Industrial Average (-0.04%) finished just below its flat line.
From a sector perspective, investors leaned defensively, evident by the positive performances from the S&P 500 real estate (+2.2%), utilities (+1.1%), and consumer staples (+0.3%) sectors. The information technology (+0.4%) and communication services (+0.5%) sectors also closed higher.
The tech sector was perked up by shares of NVIDIA (NVDA 361.05, +10.04, +2.9%) after the company reported positive quarterly results and upbeat guidance. Conversely, many of the cyclical sectors closed lower, including energy (-0.7%) and financials (-0.3%). Energy stocks were clipped by the decline in oil prices ($33.25, -0.71, -2.1%).
The price action was relatively muted throughout the day, with the broader market barely reacting to positive or negative news. The S&P 500 traded lower for most of the day, so the positive finish was good to see for the bulls.
Today's negative news came out of China as reports indicated it was going to implement national security laws on Hong Kong to tighten its control over the region. The Hang Seng Index declined 5.6% on Friday, while shares of Alibaba (BABA 199.70, -12.46, -5.9%) declined 6% despite beating quarterly estimates.
Separately, NIAID Director Fauci told media outlets that he was "cautiously optimistic" about Moderna's (MRNA 69.00, +1.95, +2.9%) COVID-19 vaccine candidate and that it was possible to develop a vaccine by the end of the year.
U.S. Treasuries closed mixed. The 2-yr yield increased two basis points to 0.17%, while the 10-yr yield decreased two basis points to 0.66%. The U.S. Dollar Index increased 0.4% to 99.77.
Investors did not receive any economic data on Friday and will not receive any on Monday due to the market's closure for Memorial Day.
- Nasdaq Composite +3.9% YTD
- S&P 500 -8.5% YTD
- Dow Jones Industrial Average -14.3% YTD
- Russell 2000 -18.8% YTD
Market Snapshot
| Dow | 24465.16 | -8.96 | (-0.04%) | | Nasdaq | 9324.61 | +39.71 | (0.43%) | | SP 500 | 2955.32 | +6.94 | (0.24%) | | 10-yr Note | +1/32 | 0.661 |
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| | NYSE | Adv 1640 | Dec 1246 | Vol 719.7 mln | | Nasdaq | Adv 1845 | Dec 1357 | Vol 3.6 bln |
Industry Watch
| Strong: Real Estate, Utilities, Information Technology, Communication Services |
| | Weak: Energy, Financials |
Moving the Market
-- S&P 500 ekes out gain in front of the Memorial Day weekend
-- Defensive-oriented sectors outperformed
-- China withdraws 2020 GDP growth target, says it will implement national security laws on Hong Kong
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WTI crude caps strong week on lower note
22-May-20 15:25 ET
Dow -93.92 at 24380.20, Nasdaq +10.47 at 9295.37, S&P -3.09 at 2945.29
[BRIEFING.COM] The S&P 500 has slipped back below its flat line with 30 minutes left to go in the session. The Russell 2000 is up 0.3%, extending its weekly gain to 7.6%.
One last peak into the S&P 500 sectors shows energy (-1.2%) and financials (-0.6%) weighing on the broader market, while support is coming from the real estate (+1.5%), utilities (+0.4%), and communication services (+0.2%) sectors.
WTI crude futures settled down $0.71 (-2.1%) to $33.25/bbl but still ended the week higher by 13.2%. |
