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Large-cap indices dragged lower by tech sector
20-Nov-20 16:20 ET
Dow -219.75 at 29263.42, Nasdaq -49.74 at 11854.89, S&P -24.33 at 3557.54

https://www.briefing.com/stock-market-update

[BRIEFING.COM] The S&P 500 closed at session lows with a 0.7% decline on Friday amid late-day selling in the information technology sector (-1.1%) and the mega-caps. The Nasdaq Composite declined 0.4%, and Dow Jones Industrial Average declined 0.8%. The Russell 2000 (+0.1%) eked out a marginal gain.

Interestingly, advancing issues outnumbered declining issues at the Nasdaq, even as ten of the 11 S&P 500 sectors closed in negative territory. Only the utilities sector (+0.1%) closed higher.

Some attributed the negative index and sector performances to news that Treasury Secretary Mnuchin declined to extend five emergency lending programs funded by the CARES Act beyond the Dec. 31 expiration date, JPMorgan forecasting negative GDP in the first quarter of 2021, and California instituting a curfew to curb the spread of the coronavirus.

To be fair, Mr. Mnuchin said there are still other available facilities to support market activities and recommended that Congress re-appropriate the unused $455 billion for immediate targeted fiscal measures. In addition, JPMorgan expects the economy to rebound in the second or third quarter of next year.

The news may have overshadowed another encouraging vaccine update. Specifically, Pfizer (PFE 36.70, +0.51, +1.4%) and BioNTech (BNTX 104.07, +9.14, +9.6%) filed an application with the FDA to receive emergency use authorization for their COVID-19 vaccine. PFE and BNTX shares closed higher.

Separately, shares of Workday (WDAY 209.40, -21.40, -9.3%) and Intuit (INTU 347.69, -13.75, -3.8%) underperformed despite reporting better-than-expected earnings results and issuing upbeat guidance. Williams-Sonoma (WSM 107.71, +6.67, +6.6%) was a notable earnings winner.

U.S. Treasuries finished on a higher note, more so on the longer-end of the curve. The 2-yr yield decreased two basis points to 0.15%, and the 10-yr yield decreased three basis points to 0.83%. The U.S. Dollar Index increased 0.1% to 92.39. WTI crude rose 1.0%, or $0.42, to $42.17/bbl.

Investors did not receive any notable economic on Friday. Looking ahead, investors will receive the flash November Markit Manufacturing and Services PMIs on Monday.

Nasdaq Composite +32.1% YTD
S&P 500 +10.1% YTD
Russell 2000 +7.0% YTD
Dow Jones Industrial Average +2.5% YTD

Market Snapshot
Dow 29263.42 -219.75 (-0.75%)
Nasdaq 11854.89 -49.74 (-0.42%)
SP 500 3557.54 -24.33 (-0.68%)
10-yr Note 0/32 0.831
NYSE Adv 1420 Dec 1602 Vol 951.5 mln
Nasdaq Adv 1850 Dec 1684 Vol 5.3 bln

Industry Watch
Strong: Utilities, Health Care
Weak: Information Technology, Industrials, Financials

Moving the Market

-- Late-day selling in the technology sector and mega-caps

-- Treasury Secretary Mnuchin declines to extend several lending programs

-- Another positive vaccine update, but muted reaction

WTI crude futures settle higher while equities slip
20-Nov-20 15:25 ET
Dow -200.47 at 29282.70, Nasdaq -20.08 at 11884.55, S&P -17.56 at 3564.31

[BRIEFING.COM] The S&P 500 is trading near session lows with a 0.5% decline. The recent selling hasn't been attributed to any particular catalyst.

One last look at the S&P 500 sectors shows ten sectors trading lower between 0.2% and 1.0% (industrials). The utilities sector (unch) trades a hair above its flat line.

WTI crude futures settled higher by 1.0%, or $0.42, to $42.17/bbl.