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Market Snapshot

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

Dow 34721.12 +137.55 (0.40%)
Nasdaq 13710.98 -186.30 (-1.34%)
SP 500 4488.28 -11.93 (-0.27%)
10-yr Note -26/32 2.713
NYSE Adv 1373 Dec 1789 Vol 846.2 mln
Nasdaq Adv 1720 Dec 2684 Vol 4.4 bln

Industry Watch
Strong: Energy, Financials, Health Care, Materials, Consumer Staples
Weak: Information Technology, Consumer Discretionary, Communication Services, Industrials

Moving the Market

-- Value outperforms growth

-- Interest rates continue to creep higher, weighing on the growth stocks

-- S&P 500 closes below 200-day moving average (4493)

Disparate performances in Dow and Nasdaq
08-Apr-22 16:15 ET
Dow +137.55 at 34721.12, Nasdaq -186.30 at 13710.98, S&P -11.93 at 4488.28

[BRIEFING.COM] The S&P 500 declined 0.3% on Friday in a mixed session in which value stocks outperformed at the expense of growth stocks. The growth/value divide was evident in the disparity between the Nasdaq Composite (-1.3%) and Dow Jones Industrial Average (+0.4%). The Russell 2000 lost 0.8%.

Growth stocks remained pressured by valuation concerns as long-term interest rates continued to creep higher: the 10-yr yield rose five basis points to 2.71% (+34 bps for the week). Shorter-dated rates also pushed higher, with the 2-yr yield increasing five basis points to 2.52% (+10 bps for the week).

The mega-caps within the S&P 500 information technology (-1.4%), consumer discretionary (-1.0%), and communication services (-0.7%) sectors were among the heaviest weights on the market. The Vanguard Mega Cap Growth ETF (MGK 227.74, -2.78) fell 1.2%.

Transportation stocks also struggled amid underlying growth concerns and negative-minded analyst recommendations. BofA Securities downgraded both Union Pacific (UNP 241.98, -2.88, -1.2%) and UPS (UPS 191.02, -1.68, -0.9%) to Neutral from Buy. The Dow Jones Transportation Average fell 0.9%.

Conversely, the financials (+1.0%) and energy (+2.8%) sectors were the strongest performers amid the higher rates and higher oil prices ($98.18/bbl, +1.88, +2.0%). The defensive-oriented health care (+0.6%), consumer staples (+0.4%), utilities (+0.3%), and real estate (+0.3%) sectors added to their weekly gains.

Blue-chips like UnitedHealth (UNH 545.96, +9.01, +1.7%), Walmart (WMT 157.41, +0.87, +0.6%), and Coca-Cola (KO 63.83, +0.39, +0.6%) set all-time highs, contributing to the outperformance of the Dow, on no specific news. Note, UNH will be among the first batch of companies to report Q1 earnings next week.

Separately, the S&P 500 wavered around its 200-day moving average (4493) the entire session, ultimately closing below the key technical level amid some slippage activity into the close.

The U.S. Dollar Index (99.84, +0.09, +0.1%), meanwhile, rose for the seventh straight session and briefly topped the 100.00 level.

Friday's economic data was limited to Wholesale Inventories, which increased 2.5% m/m in February (Briefing.com consensus 2.1%) following a revised 1.1% increase (from 0.8% increase) in January. There is no data of note scheduled for Monday.

Dow Jones Industrial Average -4.5% YTD
S&P 500 -5.8% YTD
Russell 2000 -11.2% YTD
Nasdaq Composite -12.4% YTD

Crude futures rise 2%
08-Apr-22 15:30 ET
Dow +226.21 at 34809.78, Nasdaq -133.39 at 13763.89, S&P +2.38 at 4502.59

[BRIEFING.COM] The S&P 500 is trading little changed while the Russell 2000 trades lower by 0.2%.

One last look at the sector performances shows information technology (-1.1%), consumer discretionary (-0.6%), and communication services (-0.4%) still holding back the market. Conversely, the energy (+3.0%) and financials (+1.3%) sectors continue to sport decent gains amid higher Treasury yields and oil prices.

WTI crude futures settled higher by $1.88 (+2.0%) to $98.18/barrel. The 10-yr yield settled higher by five basis points to 2.71%.