Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Opening Bell: Stocks, U.S Futures Waver On Conflicting Market Outlooks; Oil Slips

By Investing.com (Pinchas Cohen/Investing.com)Market OverviewOct 20, 2021 08:12AM ET
www.investing.com/analysis/opening-bell-stocks-us-futures-waver-on-conflicting-market-outlooks-oil-slips-200605648
Opening Bell: Stocks, U.S Futures Waver On Conflicting Market Outlooks; Oil Slips
By Investing.com (Pinchas Cohen/Investing.com)   |  Oct 20, 2021 08:12AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
  • S&P 500 futures flat after index nears record
  • Strong earnings from Nestle and Deliveroo
  • Bitcoin soars

Key Financials

Equity market attempts to price in solid earnings against a backdrop of inflationary pressures meant futures on the Dow, S&P, NASDAQ and Russell 2000 as well as European stocks traded marginally lower ahead of the New York open on Wednesday. 

Yields and the dollar were little changed but Bitcoin's push toward new highs continued.

Global Financial Affairs

Despite the S&P 500 closing near a record high on Tuesday, futures contracts on the index are indicating that it will open lower later today, as will the NASDAQ and Russell 2000 based on signals this morning from the futures market. Dow futures, however, at the time of writing are marginally up.

In Europe, Nestle (SIX:NESN) and Deliveroo (LON:ROO) outperformed stocks listed on the STOXX 600 after providing strong guidance due to faster growth. Conversely, luxury goods manufacturer and purveyor Kering (PA:PRTP) weighed on the pan-European benchmark after it reported slowing sales at Gucci.           

Asian stocks ended mixed after initially advancing as Treasuries edged toward five-month highs, a sign that investors believe in the global economic reopening amid positive corporate earnings.          

Regional stocks struggled to maintain headway. Hong Kong's Hang Seng outperformed, surging 1.1% on fading fears of a Chinese regulatory crackdown. The optimism coincided with Alibaba (HK:9988) founder Jack Ma's first major public appearance since criticizing Beijing, as the tech giant unveiled one of China's most advanced chips to help it compete with Amazon (NASDAQ:AMZN) in the cloud space.

On the other side of the digital board, South Korea's KOSPI fell 0.5%, underperforming the region with institutional selling. 

Thanks to solid earnings reports, American stocks extended gains during Tuesday's New York session, which helped investors turn a blind eye to the risks of elevated inflation.

The S&P 500 gained 0.7%, with Travelers (NYSE:TRV) and Johnson & Johnson (NYSE:JNJ) reporting better than than anticipated earnings. On the other hand, rising freight costs hurt consumer staples giant Procter & Gamble (NYSE:PG).

The launch of the first US futures ETF, the ProShares Bitcoin Strategy ETF (NYSE:BITO) boosted Bitcoin, now in striking distance of its all-time high. The second largest cryptocurrency by market cap, Ethereum, seems to have been overlooked in the meantime, potentially offering better value. 

Treasury yields on the 10-year note opened higher, but have since been closing the rising gap.

The dollar tracked yields' movements, rising slightly.

Dollar Index Daily
Dollar Index Daily

The greenback's pattern of rebounding off lows is extending into the second day. The levels beneath provide support after the price completed a massive double bottom and blew out a H&S top.

Gold rose for the second day, as falling yields gave it an edge in the safe haven space. 

Gold Daily
Gold Daily

There's a short and long-term battle playing out for the yellow metal, as both time frames are producing H&S patterns, albeit in opposing directions. We're giving more credence to to the longer term view.

Oil retreated from a seven-year high.

Crude Oil 4-Hour
Crude Oil 4-Hour

A fall below $81.09 will establish a short-term downtrend.

Up Ahead

Market Moves

Stocks

  • The STOXX 600 rose 0.1% as of 8:46 a.m. London time
  • Futures on the S&P 500 were little changed
  • Futures on the NASDAQ 100 were little changed
  • Futures on the Dow Jones Industrial Average were little changed
  • The MSCI Asia PacificIndex rose 0.9%
  • The MSCI Emerging Markets Index rose 0.9%

Currencies

Bonds

  • The yield on 10-year Treasuries was little changed at 1.64%
  • Germany's 10-year yield declined one basis point to -0.11%
  • Britain's 10-year yield fell two basis points to 1.15%

Commodities

Opening Bell: Stocks, U.S Futures Waver On Conflicting Market Outlooks; Oil Slips
 

Related Articles

Opening Bell: Stocks, U.S Futures Waver On Conflicting Market Outlooks; Oil Slips

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (5)
Atturehman Khan
Atturehman Khan Oct 20, 2021 11:22PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
isah usman
isah usman Oct 20, 2021 9:53AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Nice to meet you
Jose Maderno
Jose Maderno Oct 20, 2021 8:01AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Thanks so much for publishing this "trash" as I have found it to be a great way to start the day.  Very informative as usual.  Thank you.
Paul Robbins
Paul Robbins Oct 20, 2021 7:48AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yalls stories are always inacurate ans you write them based on futures price actuon which is usually the opposite of daily price action. Why do they let you continually write this trash? Its wrong before you publish it
Zinzi Siswana
Zinzi Siswana Oct 20, 2021 6:46AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Only hoping n praying for nas100 top 16270
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email