Day Traders Diary
The S&P 500 and Nasdaq Composite rose modestly to eke out a new record close. The Dow Jones Industrial Average rose as much as 138 points before closing down modestly as investors digested testimony from the top U.S. central banking official and assessed the potential economic impact of the coronavirus.
Federal Reserve Chairman Jerome Powell testified in front of the House Financial Services Committee that the central bank is "closely monitoring" the coronavirus situation for a potential hit to China and the global economy. During the Q&A portion of his testimony, Powell noted it is "too early to say" how the coronavirus will ultimately impact the U.S. economy. Investors have been grappling with fears that of the coronavirus denting global economic growth.
China's National Health Commission on Monday night said the death toll had risen to 1,016 people with 42,638 confirmed cases. However, data from Johns Hopkins University showed the number of new confirmed cases was its lowest since late January, increasing optimism around the country's efforts to contain the outbreak.
In earnings news, Under Armour fell 18% while Goodyear Tire fell 12% on disappointed results and/or guidance. Burlington Stores rose 6% after raising guidance. Take that Canadian Goose.
In merger news, Sprint rose 77% after the Federal court said they would not block a potential merger with T-Mobile US combing the 3rd and 4th largest wireless carriers.
U.S. Treasuries finished on a lower note and barely moved during Fed Chair Powell's congressional testimony. The 2-yr yield increased four basis points to 1.42%, and the 10-yr yield increased four basis points to 1.42%. The U.S. Dollar Index declined 0.1% to 98.75. WTI crude rose 0.9%, or $0.44, to $50.01/bbl.All comments contained herein are for informational purposes only, and should not be considered as a solicitation to buy or sell any security. The firm does not guarantee the accuracy or completeness of the information or make any warranties regarding results from it's usage.