Continued Increase In Treasury Yields May Weigh On Wall Street

[ADVFN]( [[Global Email] World Daily Markets Bulletin]( Monday, 18 April 2022 10:03:49 [ADVFN Twitter]( [Monitor]( [Quote]( [Charts]( [News]( [Toplists]( [Boards]( [New Cash Law Will Be Disaster for Savers]( New law has expert warning seniors and retirees to beware. There?s a darker truth behind this political event... [Read The Full Story Here]( --------------------------------------------------------------- US Market Bitcoin [Bitcoin]( DAX [DAX]( Dow Jones [Dow Jones]( Nasdaq [Nasdaq]( The major U.S. index futures are currently pointing to a lower open on Monday, with stocks likely to extend the sharp pullback seen in the previous session. A continued increase in Treasury yields may weigh on Wall Street, with the yield on the benchmark ten-year note once again reaching its highest levels in well over three years. Yields have shown a substantial upward move over the past several weeks amid indications the Federal Reserve plans to aggressively raise interest rates in an effort to combat elevated inflation. Trading activity may be somewhat subdued, however, as traders look ahead to the slew of earnings news due to be release this week. Johnson & Johnson (JNJ), IBM Corp. (IBM), Netflix (NFLX), Procter & Gamble (PG), Tesla (TSLA), American Express (AXP) and Verizon (VZ) are among the big-name companies due to report their quarterly results in the coming days. Financial giant Bank of America (BAC) released its first quarter results before the start of today?s trading, reporting earnings and revenue that exceeded analyst estimates. Stocks moved sharply lower over the course of the trading day on Thursday, largely offsetting the rebound seen on Wednesday. With the pullback on the day, the Nasdaq and the S&P 500 fell to their lowest closing levels in a month. The major averages all moved to the downside on the day, although the Dow posted a relatively modest loss, dipping 113.36 points or 0.3 percent to 34,451.23. The Nasdaq plunged 292.51 points or 2.1 percent to 13,351.08, and the S&P 500 slumped 54.00 points or 1.2 percent to 4,392.59. For the holiday-shortened week, the Dow slid by 0.8 percent, while the Nasdaq plummeted by 2.6 percent and the S&P 500 tumbled by 2.1 percent. Tech stocks helped lead the way lower, as reflected by the steep drop by the tech-heavy Nasdaq. The weakness in the sector came amid a substantial rebound by treasury yields, with the yield on the ten-year note reaching its highest closing level since December 2018. Treasury yields soared following the release of a slew of U.S. economic data, including a report from the Commerce Department showing U.S. retail sales increased in March amid a spike in sales by gas stations. The report showed retail sales rose by 0.5 percent in March after climbing by an upwardly revised 0.8 percent in February. Economists had expected retail sales to increase by 0.6 percent compared to the 0.3 percent uptick originally reported for the previous month. Excluding a pullback in sales by motor vehicle and parts dealers, retail sales jumped by 1.1 percent in March after rising by 0.6 percent in February. Ex-auto sales were expected to increase by 1.0 percent. A separate report released by the Labor Department showed first-time claims for U.S. unemployment benefits increased by more than expected in the week ended April 9th. The Labor Department said initial jobless claims rose to 185,000, an increase of 18,000 from the previous week's revised level of 167,000. Economists had expected initial jobless claims to edge up to 171,000 from the 166,000 originally reported for the previous week. The Labor Department also released a report showing U.S. import prices surged by more than expected in the month of March, as prices for fuel imports continued to skyrocket. Meanwhile, preliminary data released by the University of Michigan unexpectedly showed a substantial improvement in U.S. consumer sentiment in the month of April. The report showed the consumer sentiment index spiked to 65.7 in April from 59.4 in March. The sharp increase surprised economists, who had expected the index to edge down to 59.0. The consumer sentiment index rebounded from its lowest level since August 2011 amid an improvement in consumer expectations, with the expectations index surging to 64.1 in April from 54.3 in Mach. Semiconductor stocks turned in some of the market's worst performances on the day, dragging the Philadelphia Semiconductor Index down by 2.9 percent to its lowest closing level in almost eleven months. Significant weakness was also visible among networking and computer hardware stocks, with the NYSE Arca Networking Index and the NYSE Arca Computer Hardware Index falling by 1.9 percent and 1.7 percent, respectively. Within the hardware sector, Western Digital (WDC) and Seagate Technology (STX) posted notable losses after Susquehanna Financial downgraded its ratings on both disk drive makers. Retail stocks also came under pressure over the course of the session, resulting in a 1.5 percent drop by the Dow Jones U.S. Retail Index. Banking and housing stocks also saw notable weakness, while oil service stocks bucked the downtrend amid a sharp increase by the price of crude oil. --------------------------------------------------------------- [Stock Watchlist Now Available [Live]]( If you want better trading information, join us, live, and see our stock watchlist in a free online class. [Click here to save your spot.]( --------------------------------------------------------------- U.S. Economic Reports CADUSD [CADUSD]( Oil [Oil]( Gold [Gold]( EURUSD [EURUSD]( The National Association of Home Builders is scheduled to release its report on homebuilder confidence in the month of April at 10 am ET. The housing market index is expected to edge down to 77 in April from 79 in March. At 4 pm ET, St. Louis Federal Reserve President James Bullard is due to speak on the U.S. economy and monetary policy before a virtual C. Peter McColough Series on International Economics hosted by the Council on Foreign Relations. --------------------------------------------------------------- [Former Goldman Sachs PhD: "Never returning to normal"]( According to former Goldman Sachs executive, Nomi Prins... Americans who are hoping for a 'return to normal' are going to be shocked when they see what happens next in America. [Click here now to see America's next crisis.]( --------------------------------------------------------------- Stocks in Focus Shares of Nektar Therapeutics (NKTR) are moving sharply lower in pre-market trading after the biopharmaceutical company halted the global clinical development program for its cancer drug bempegaldesleukin in combination with Bristol Myers Squibb?s (BMY) Opdivo. China-based ride-hailing giant DiDi Global (DIDI) may also come under pressure after reporting a 12.7 percent year-over-year decrease in fourth quarter revenue and announced plans to vote on a delisting from the New York Stock Exchange. Meanwhile, shares of Twitter (TWTR) are seeing pre-market strength after the social media giant?s board of directors adopted a so-called ?poison pill? to prevent Tesla (TLSA) CEO Elon Musk from increasing his stake in the company above 15 percent. --------------------------------------------------------------- [Watch A.I. 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[Learn More / Upgrade]( --------------------------------------------------------------- Asia USDCAD [USDCAD]( USDEUR [USDEUR]( USDGBP [USDGBP]( USDJPY [USDJPY]( Asian stocks fell broadly on Monday due to inflation worries and a deepening crisis in Ukraine. Trading volumes were thin amid Easter holidays in Hong Kong, Australia and New Zealand. China?s Shanghai Composite Index dropped 0.5 percent to close at 3,195.52 after Shanghai said three people had died from COVID-19, the first official announcement of deaths from an outbreak that prompted the top business hub to enforce a weeks-long lockdown. Markets ended off their day's lows as GDP data topped forecasts. China?s GDP grew an annual 4.8 percent during January to March, picking up pace from a 4 percent increase in the fourth quarter last year, official data showed. The Chinese government has set a growth target for this year of around 5.5 percent, the lowest in three decades. Separate data showed retail sales declined 3.5 percent in March from a year ago, marking the first drop since July 2020. Industrial production grew by 5 percent in March, compared with 7.5 percent in the first two months of the year. Unemployment in 31 major cities surged to 6 percent in March, a record high. Japanese stocks led regional losses amid growing tensions linked to the Ukraine situation and surging COVID cases in China. The Nikkei 225 Index slumped 1.1 percent to 26,799.71, dragged down by growth stocks as investors awaited earnings from big companies next week. The yen's recent moves have been "quiet sharp" and could hurt companies' business plans, BoJ Governor Haruhiko Kuroda said as the Japanese currency briefly fell to a fresh 20-year low against the dollar. Seoul stocks ended modestly lower despite stronger than expected quarterly economic data from China. The Kospi slipped 0.1 percent to finish at 2,693.21 as the country lifted almost all of its COVID-19 precautions in a major step towards a return to normal life. --------------------------------------------------------------- Do you day trade? Trader Alerts streams stocks reaching new highs and lows as well as stocks breaking out of previous volume highs as they happen. It?s a powerful tool for day trading ideas. [Learn More / Upgrade]( --------------------------------------------------------------- Commodities Crude oil futures are rising $0.54 to $107.49 a barrel after surging $2.70 to $106.95 a barrel last Thursday. Meanwhile, after falling $9.80 to $1,974.90 an ounce in the previous session, gold futures are jumping $25.60 to $2,000.50 an ounce. On the currency front, the U.S. dollar is trading at 126.51 yen versus the 126.46 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is trading at $1.0807 compared to last Thursday?s $1.0810. --------------------------------------------------------------- To unsubscribe from this news bulletin or edit your mailing list settings click [here](. Registered Office/Accounts Dept: Suite 27, Essex Technology Centre, The Gable, Fyfield Road, Ongar, CM5 0GA. Customer Support +1 888-992-3836. Company registered in England and Wales: Number 2374988 VAT No. GB 549 2130 49