Market Commentary: Markets Opened Down, US And China Financial Reports Poor

Opening Market Commentary For 04-23-2014

Premarkets were off -0.06% prior to the opening and little financial reporting except from China that was disappointing (see more below).

Markets opened with a ‘pump-n-dump’ action on low to moderate volume, first falling -0.06% and then the SP500 rose to yesterday’s closing numbers. By the 15 minute mark the averages were solidly in the red and descending where the DOW was -0.11% and the NASDAQ was down -0.50%.

By 10 am the negative US financial news pushed the averages further down. As the red volume inched up investors became increasing worried regarding future advances.

 

Follow up:

 

Financial news from China earlier was not in the best interest of investors looking for more strength coming from the BRICS. The US financial news is all red this morning with the Manufacturing PMI falling to 55.4 from 55.5 and the US New Home Sales falling to -14.5% from -4.5%.

Stock futures little changed as disappointing economic news from China offsets solid earnings

U.S. stock futures barely budged in pre-market trading Wednesday as positive earnings news from U.S. companies was offset by a disappointing economic report from China.

KEEPING SCORE: Standard & Poor’s 500 index futures eased two points, or 0.1 percent, to 1,872 as of 9:11 a.m. Eastern time. Dow Jones industrial average futures edged up one point to 16,459.

Nasdaq composite futures eased five points, or 0.2 percent, to 3,579.

FLYING HIGHER: Delta Air Lines rose $1.80, or 5.2 percent, to $36.75. Its first-quarter earnings climbed after it filled more seats on its planes and paid less for fuel.

Boeing rose $3.25, or 2.5 percent, to $130.80. The company’s quarterly earnings beat expectations as it boosted airplane production.

CHINA: A preliminary survey of Chinese manufacturers by HSBC showed slight improvements in prices and demand, but contractions in new export orders and employment in April.