Stocks
Once again, weakness from the US markets caused global stock markets to be on the defensive. This was most glaringly seen in Europe, where the FTSE 100, CAC 40, and DAX 30 had all achieved 1.0% gains before selling off and closing down on the day. In the US, other than the opening, the major indexes spent the day in the red. Once again, the Nasdaq was the biggest loser as it shed 0.57% to 2251, while the Dow lost 30 points to 10467.
Traders noted mixed earnings results as a cause of the selling. Additionally, as noted yesterday, the S&P 500 continues to be able to trade above its 200 day moving average. As such, this may have spurred traders that have been waiting for an upside breakout to occur to exit their positions before tomorrow’s US Advanced GDP results.
Commodities
Commodities, as measured by the CRB Index rallied 1.5% today. The big winners were in energy as Crude Oil and Natural Gas prices both rallied strongly. Natural Gas prices were helped by a smaller than expected build in inventories.
Elsewhere, precious metals were higher, as Silver rallied to 17.65 while Gold reached 1169. Following yesterday’s action, they continue to be experiencing low volatility following Tuesday’s large drop in the sector. Looking ahead, traders are awaiting tomorrow’s GDP announcements from both the US and Canada.
