US stock market report August 14 2019
Heavy losses and a strong sell-off for the US stock market as fears about a recession due the the bonds yield inversion sent stocks to much lower levels.
Main yield curve inverts as 2-year yield tops 10-year rate, triggering recession warning.
Earlier Wednesday, the yield on the benchmark 10-year Treasury note was at 1.623%, below the 2-year yield at 1.634%.Source: CNBC
The last inversion of this part of the yield curve was in December 2005, two years before a recession brought on by the financial crisis hit.
A recession occurs, on average, 22 months following such an inversion, according to Credit Suisse.
This is the summary of the US stock market at close on Wednesday August 14 2019:
- S&P 500: 2,840.60,-85.72(-2.93%)
- Dow 30: 25,479.42,-800.49(-3.05%)
- Nasdaq: 7,773.94,-242.42(-3.02%)
- Russell 2000: 1,467.52,-43.05(-2.85%)
- 10-Yr Bond: 1.581,-0.099(-5.8928%)
- Vix: 22.10,+4.58(+26.14%)
China Petroleum & Chemical Corporation (SNPMF) was the stock with largest gains closing at $0.5800+$0.0280 (+5.07%).
Kerry Properties Limited (KRYPF) was the stock with largest losses closing at $3.4300-$0.6900 (-16.75%).
Stock investing – Most active stocks
Macy’s, Inc. (M) was among the most active stocks closing at $16.80-$2.56 (-13.22%).
U.S. Sectors & Industries Performance
All sectors closed lower as selling pressure for stocks was persistend during the whole trading session. Energy was the worst performing sector -4.12%, Utilities was the best performing sector -0.94%, Source: Fidelity.
US stock market earnings today
Some of the companies releasing earnings today are Walmart (WMT), Nvidia (NVDA), Alibaba (BABA), JCPenney (JCP), Tapestry (TPR) and Applied Materials (AMAT).
Stock market news
- Stock Markets, Jolted by Economic Worry, Suffer 2nd Worst Drop of 2019
- Recession ahead? Dow, stocks tank on fears that bond market signals a downturn
- After the yield curve inverts — here’s how the stock market tends to perform since 1978
Stock market data
Stocks to buy or stocks to sell – stock market newsletter
This report is written by Stavros Georgiadis, CFA Equity Research Analyst, Investment Strategist