Declines. The minutes show to split among officials. Earlier,ere down treasuries and stocks, then both snapped back after the minutes indicated a perceived dovishness. The dollars and represented by the bloomberg dollar index on your terminal. The s p and white was down before the minutes, and the dollar out. After the minutes, the dollar fell and the s p rose, which would signify that investors considered a rate rise not as imminent as bill dudley made it sound. Financials continue to rally. You can see utilities of the biggest gainers because a weak dollar is good for that, but then financials as well. Not nearly as big as utilities, but the second biggest industry group. ,f the fed does not raise rates then margins wont have a chance to expand. Joe interesting things in the Government Bond market, u. S. No,ent bonds portuguese Government Bonds, yields a jumping on the 10 year, bad,rned the dbrs is raising questions about Government Debt and whether it would be eligible for buybacks.
The man leading the race. Lets go to the markets desk. We are seeing stocks model along today with a decline snapping the threeday rally. The s p 500 is down half a percent and the nasdaq is declining the most today as thick knowledge he is a heavy weight in the major averages. If you take a look at the bloomberg and you see the groups on the move, tech and financials are the worst performers. Investors are trying to assess what is going on in china. Offering a range for its gdp forecast and boosting foreign reserves. It is a mixed bag. Lets look at largecap technology which is once again on the move. , andsoft, facebook alphabet are weighing the most on the major averages. Rally still seeing the from the lows of february 11. What is encouraging is the russell 2000 where the gains have overtaken the s p 500. These are both indices since february 11. The russell 2000 of small caps is up 13 . In past instances, when we see that kind of rise in the russell, it tends to be followed by more
The momentum we got last week. Initially that wasnt happening, but then we had a shift led by commodities. If you look at the three major averages, we have a mixed market. The dow jones hanging onto its gains, one of its best performance has been to punt, on speculation that basf could make a bid for the company. If you look at what groups are doing the best at the moment, energy is getting the most, even though this picture is now looking more mixed. Technology and Consumer Discretionary are the biggest drags even as energy holds up well. If you look at the up trend we have seen since february 11, will it remain intact after today . Since that low, the bounce has been 9. 4 . What is interesting, the gains have been coming. They have been coming by the least loved groups, the most beatendown groups in the s p 500. We are looking at the s p 500 since february 11. This is the financials index in blue, which had been better the most year to date, and has been coming back. Finally, this is
You look at the gains here, the dow is up almost 7 since february 11th. The s p 500 up more than 8 in that same time frame and the nasdaq is up 10. 5 since february 11th. Do you sell into the rally . David joins us. You have a bullish tendency, but i think you believe that the upside is limited here. Yeah, absolutely limited. We talked about it last night in the show. Essentially this is a fearbased trade. People underpositioned on the long side that are fearing a lot of the meetings coming up over the next several weebks. A meeting in china kicks off today. Most importantly the ecb given draghis comments about potential additional stimulus, so i look at it and say under positioned, getting long, fear of it running away from them, but most importantly, there is a big fear, big fear about being short. So all these, you know, stocks and sectors that have underperformed have been completely negative, biased on sentiment trades, youre seeing that risk come off and seeing a tremendous amoun
Good morning, and welcome to world wor Worldwide Exchange on cnbc. Im sara eisen. And im wilfred frost. Lets have a look at u. S. Equity futures. Weve seen some rebounds across the board. Today, though, a little bit of red. In fact, quite a marked amount of red as we look at things. The dow expected to open down by 123 points. The s p by 16. The nasdaq by the 43. A quick look also at the tenyear yield. Its been a great gauge of risk sentiment. Were looking at 1. 84 this morning. That yield has been ticking up the last week or two, showing that risk sentiment has been improving. Just holding those levels this morning. While you were sleeping, a lot of Economic Data coming out of asia overnight. Heres a quick summary for you. A revision to japans Fourth Quarter gdp showing the economy there contracted little less than first thought. The economy in japan shrinking at an annualized 1. 1 rate. That was up from a preliminary read of 1. 4 contraction. In a separate report, japans Consumer Con