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Market Snapshot

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

Dow 34600.38 +25.07 (0.07%)
Nasdaq 13756.35 +19.85 (0.14%)
SP 500 4208.12 +6.08 (0.14%)
10-yr Note +5/32 1.591
NYSE Adv 1797 Dec 1459 Vol 1.12 bln
Nasdaq Adv 2126 Dec 2082 Vol 5.00 bln

Industry Watch
Strong: Technology, Financials, Energy, Utilities, Real Estate
Weak: Materials, Consumer Discretionary, Communication Services, Industrials

Moving the Market

Crude oil seeks sixth gain over the past eight days

Technology sector providing early support

Growth stocks outperform

Flat Finish Masks Speculative Frenzy
02-Jun-21 16:25 ET
Dow +25.07 at 34600.38, Nasdaq +19.85 at 13756.35, S&P +6.08 at 4208.12

[BRIEFING.COM] The stock market finished a quiet midweek session on a slightly higher note with the S&P 500 (+0.1%) and Nasdaq (+0.1%) settling right above their flat lines.

The quiet finish was fitting for an equally quiet trading day that saw the major averages inch higher during the first two hours of action, followed by a slow slide into the early afternoon. The S&P 500 spent the day inside a 20-point range.

Six sectors ended the day in positive territory. The energy sector (+1.7%) continued its torrid start to the week and was followed by the lightly-weighted real estate sector (+1.4%) while top-weighted technology (+0.6%) held a modest gain throughout the day, keeping the S&P 500 in the green.

The relative strength in the technology sector was owed to big components like NVIDIA (NVDA 671.13, +20.55, +3.2%), Visa (V 229.66, +3.03, +1.3%), MasterCard (MA 366.85, +7.06, +2.0%), and PayPal (PYPL 262.17, +2.90, +1.1%) while Apple (AAPL 125.06, +0.78, +0.6%) caught up to the sector as the day went on. Chipmakers kept pace with the sector, sending the PHLX Semiconductor Index higher by 0.7%.

Energy received a boost from crude oil, which rose $1.00, or 1.5%, to $68.79/bbl after a brief rally past yesterday's high. Most components of the growth-sensitive sector climbed more than 1.0% with TechnipFMC (FTI 9.89, +0.92, +10.3%) spiking more than 10.0% with no news contributing to the jump.

Given its low share price and membership in a hot sector, TechnipFMC may have benefited from the same speculative fervor that sent AMC (AMC 62.55, +30.51, +95.2%) to a fresh record high. AMC was today's most traded stock by a long shot while Bed Bath & Beyond (BBBY 44.19, +16.93, +62.1%) also enjoyed a massive rally on heavy volume.

The materials sector (-0.9%) was today's weakest performer while the remaining laggards finished with much slimmer losses.

In earnings, Zoom Video (ZM 327.11, -0.61, -0.2%) finished little changed despite beating estimates and boosting its guidance while Advance Auto (AAP 191.33, -3.32, -1.7%) fell back below its 50-day moving average (193.52) after it too beat EPS estimates and boosted its guidance.

Treasuries climbed with the 10-yr yield slipping two basis points to 1.59%.

Economic data released today was limited to the weekly MBA Mortgage and the June Beige Book.

The weekly MBA Mortgage Index fell 4.0% as the Purchase Index decreased 3.1% while the Refinance Index fell 4.6%.

The Fed's June Beige Book noted that the economy expanded at a moderate pace between April and late May, though reports of shortages became more prevalent. Employment increased at a steady pace with most Fed Districts describing the growth as modest. Many firms continued struggling to fill low-wage positions and those for skilled tradespeople. However, the shortages resulted in only moderate wage growth. Price pressures continued building with selling prices rising moderately while the Atlanta District reported price pressures in the new home market resulting from heavy investor demand.

The May ADP Employment Change report (Briefing.com consensus 675,000; prior 742,000) will be released tomorrow at 8:15 ET, followed by revised Q1 Productivity (Briefing.com consensus 5.5%; prior 5.4%), revised Q1 Labor Costs (Briefing.com consensus -0.4%; prior -0.3%), weekly Initial Claims (Briefing.com consensus 395,000; prior 406,000), and Continuing Claims (prior 3.642 mln) at 8:30 ET; final May IHS Markit Services PMI (prior 70.1) at 9:45 ET; and May ISM Non-Manufacturing Index (Briefing.com consensus 63.0%; prior 62.7%) at 10:00 ET.

Russell 2000 +16.4% YTD
Dow Jones Industrial Average +13.1% YTD
S&P 500 +12.0% YTD
Nasdaq Composite +6.7% YTD