Market Snapshot
briefing.com
| Dow | 34583.57 | +87.06 | (0.25%) | | Nasdaq | 13897.28 | +8.48 | (0.06%) | | SP 500 | 4500.21 | +19.06 | (0.43%) | | 10-yr Note | -4/32 | 2.639 |
|
| | NYSE | Adv 1491 | Dec 1660 | Vol 1.0 bln | | Nasdaq | Adv 1858 | Dec 2570 | Vol 4.7 bln |
Industry Watch
| Strong: Health Care, Consumer Staples, Energy |
| | Weak: Real Estate, Utilities, Communication Services, Financials |
Moving the Market
-- Large-cap indices close higher, recovering early losses on no specific news
-- S&P 500 reclaims 200-day moving average (4492) on closing basis
-- Longer-dated Treasury yields creep higher, steepening the curve
|
Large-cap indices close higher, recovering early losses
07-Apr-22 16:20 ET
Dow +87.06 at 34583.57, Nasdaq +8.48 at 13897.28, S&P +19.06 at 4500.21
[BRIEFING.COM] The S&P 500 increased 0.4% on Thursday, overcoming a 0.7% intraday decline on no specific news catalysts. The Nasdaq Composite (+0.1%) and Dow Jones Industrial Average (+0.3%) also recouped intraday losses while the Russell 2000 (-0.4%) still closed lower despite a recovery effort.
Two early headwinds for the market included technical resistance at the S&P 500's 200-day moving average (4492) and upwards pressure in long-term interest rates. The 10-yr yield settled higher by five basis points to 2.66% after trading at 2.56% overnight.
Investors, also cognizant of a hawkish-minded Fed, continued to lean defensively as the market drifted lower throughout the morning. Equities, however, turned around in the afternoon without a news catalyst, perhaps amid a contrarian mindset as sentiment had gotten too bearish.
The S&P 500 reclaimed its 200-day moving average on a closing basis with the help of seven of its 11 sectors. The health care (+1.9%), energy (+1.4%), and consumer staples (+1.2%) sectors led the advance with gains over 1.0%.
Conversely, the real estate (-0.9%), communication services (-0.7%), utilities (-0.3%), and financials (-0.1%) sectors closed lower. The CBOE Volatility Index (21.55, -0.55, -2.5%) did, too, as hedging interest waned amid the rebound-minded action.
In corporate news, shares of Costco (COST 608.05, +23.26, +4.0%) hit an all-time high after the company reported adjusted March comparable sales growth of 12.2% while HP Inc. (HPQ 40.06, +5.15, +14.8%) surged 15% after Warren Buffett's Berkshire Hathaway (BRK.B 346.51, +1.80, +0.5%) disclosed a stake in the company.
Back in the Treasury market, the 2s10s spread increased to 19 basis points from 12 basis points yesterday. The 2-yr yield decreased two basis points to 2.47% while the 10-yr yield, as noted above, settled at 2.66%. The U.S. Dollar Index increased 0.2% to 99.79. WTI crude futures fell 0.3%, or $0.29, to $96.30/bbl.
Reviewing Thursday's economic data:
- Initial claims for the week ending April 2 dropped by 5,000 to 166,000 (Briefing.com consensus 200,000). Continuing claims for the week ending March 26 increased by 17,000 to 1.523 million.
- The key takeaway from the report is that it was influenced by revisions to seasonal adjustment factors. Still, the low level of initial claims following the revisions remains indicative of a tight labor market.
- Consumer credit increased by $41.8 billion in February (Briefing.com consensus $15.5 billion). The prior month saw an upward revision to $8.9 bln from $6.8 bln.
- In February, consumer credit increased at a seasonally adjusted annual rate of 11.3%. Revolving credit increased at an annual rate of 20.7%, while nonrevolving credit increased at an annual rate of 8.4%.
Looking ahead, investors will receive the Wholesale Inventories report for February on Friday.
- Dow Jones Industrial Average -4.8% YTD
- S&P 500 -5.6% YTD
- Russell 2000 -10.5% YTD
- Nasdaq Composite -11.2% YTD
Crude futures settle slightly lower
07-Apr-22 15:30 ET
Dow +134.68 at 34631.19, Nasdaq +55.70 at 13944.50, S&P +29.33 at 4510.48
[BRIEFING.COM] The S&P 500 is up 0.7% while the Russell 2000 is still stuck in negative territory with a 0.2% decline.
One last look at the sectors shows health care (+2.0%), consumer staples (+1.2%), and energy (+1.1%) up between 1-2%, while the real estate (-0.7%), utilities (-0.5%), and communication services (-0.4%) sectors are the only sectors trading lower.
WTI crude futures settled lower by $0.29 (-0.3%) to $96.30/barrel. |
