S&P 500 pares gains into the close, but rises on financials, chips strength
- Stocks sold off in late trading, trimming sizable gains, but the major
averages still closed with solid gains as technology and cyclicals
rallied.
- The S&P (SP500) +1.1% and Nasdaq (COMP) +1.3% outpaced the Dow (DJI)
+0.6%, which felt some weight from Salesforce ahead of its earnings
report.
- Stimulus headlines brought a nostalgic feel to the day's trading.
Senate Majority Leader Mitch McConnell was quick to dismiss a $908B
bipartisan proposal. The GOP is countering with a package of $332.7B
that includes a second round of PPP loans and no stimulus checks and
would
repurpose $140B in unspent funds. That leaves both sides pretty much
where
they started, again.
- The zig-zagging in stimulus was pointed to as a reason for the late
slide in equities, but profit-taking was just as likely a reason. Before
the stimulus headlines, Moderna had swung from up 20% into negative
territory.
- Bond yields, which surged during the day, stayed at elevated levels
while the stimulus news hit. The 10-year Treasury yield rose 8 basis
points
to 0.92% and the 10-year to 2-year spread hit mid-November levels.
- Rates helped Financials (NYSEARCA:XLF), especially banks (NYSEARCA:KBE)
+2.4%, finish near the top of the sectors.
- Chip stocks bolstered Info Tech (NYSEARCA:XLK) as Micron lifted
guidance.
- Among the megacaps, Tesla, Apple and Facebook rose more than 3%, with
Facebook leading Communication Services (NYSEARCA:XLC) to the top of the
sector list.
- Only Industrial (NYSEARCA:XLI) closed down, with a post-deal drop in
IHS Markit weighing.
- Crude futures -1.8% finished below $45/barrel as OPEC delayed again
its decision on output cuts.
|Today, 4:04 PM|6 Comments
- Stocks sold off in late trading, trimming sizable gains, but the major
averages still closed with solid gains as technology and cyclicals
rallied.
- The S&P (SP500) +1.1% and Nasdaq (COMP) +1.3% outpaced the Dow (DJI)
+0.6%, which felt some weight from Salesforce ahead of its earnings
report.
- Stimulus headlines brought a nostalgic feel to the day's trading.
Senate Majority Leader Mitch McConnell was quick to dismiss a $908B
bipartisan proposal. The GOP is countering with a package of $332.7B
that includes a second round of PPP loans and no stimulus checks and
would
repurpose $140B in unspent funds. That leaves both sides pretty much
where
they started, again.
- The zig-zagging in stimulus was pointed to as a reason for the late
slide in equities, but profit-taking was just as likely a reason. Before
the stimulus headlines, Moderna had swung from up 20% into negative
territory.
- Bond yields, which surged during the day, stayed at elevated levels
while the stimulus news hit. The 10-year Treasury yield rose 8 basis
points
to 0.92% and the 10-year to 2-year spread hit mid-November levels.
- Rates helped Financials (NYSEARCA:XLF), especially banks (NYSEARCA:KBE)
+2.4%, finish near the top of the sectors.
- Chip stocks bolstered Info Tech (NYSEARCA:XLK) as Micron lifted
guidance.
- Among the megacaps, Tesla, Apple and Facebook rose more than 3%, with
Facebook leading Communication Services (NYSEARCA:XLC) to the top of the
sector list.
- Only Industrial (NYSEARCA:XLI) closed down, with a post-deal drop in
IHS Markit weighing.
- Crude futures -1.8% finished below $45/barrel as OPEC delayed again
its decision on output cuts.
|Today, 4:04 PM|6 Comments
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