Stock Market Update Tuesday, March 10th, 2020
What do the markets do after the worst trading day since the financial crisis?
Bounce back of course.
Well, it actually wasn’t that easy. But it was another volatile trading session!
Stocks were higher at the open then chopped around.
But selling kicked in an hour after the open, and stocks dropped. And around 11:30am ET, the major indices turned negative for the day.
After the morning losses the major indices were sideways. Then stocks finally broke out with an afternoon rally and finished at highs of the day.
The major indices finished the day higher by 4.6%+ across the board.
You’d think that a 4.0% rally would be HUGE…and it normally is.
But today’s gains didn’t even fill the gap after yesterday’s bloodbath.
Here’s where the major indices ended the day:
- The S&P finished with a 4.9% gain. Up 136 points, the S&P ended at 2,882.
- The DOW ended higher by 4.9%. Adding 1,1167 points the DOW closed at 25,018.
- The NASDAQ was up 4.6%. With a 367 point gain, the NASDAQ finished at 8,331.
Crude Oil (CL) saw was up big, but only put a dent yesterday’s 25% drop. Up 9.6%, Crude Oil finished the day at $34.13 a barrel.
Helped by the rally in oil, oil stocks were some of the best performers today.
Marathon Oil (MRO) finished higher by 7.8% and Occidental Petroleum (OXY) was up 14.6%.
President Trump tempted the markets with a possible “payroll tax cut or relief” in an attempt to help the economic impact of the coronavirus. CNBC reported that the President even pitched the idea of 0% payroll tax rate for the rest of 2020.
Trump also said that he wants to help protect airlines, cruise ships, and shipping industries.
Airlines stocks got a boost from the President’s comments.
American Airlines (AAL) jumped 15.3% and United Airlines (UAL) was up 12.4%.
Will the Fed step in again with another rate cut? Some traders are starting to think so.
According to the CME FedWatch tool, traders believe that there is a 50% probability the Fed will cut rates by another 50 basis points by the end of their April Fed Meeting.
Here is the economic calendar for the week:
Real Time Economic Calendar provided by Investing.com.
This Stock Market Update was provided by Rockwell Trading Services LLC.