Market Recap: Wednesday, October 6
Stocks turned positive Wednesday, with all three major stock indexes pushing higher during the afternoon session. Megan Horneman, Verdence Capital Advisors Director of Portfolio Strategy and Stephanie Roth, J.P. Morgan Private Bank Senior Markets Economist joined Yahoo Finance Live to discuss.
- We're down to the last five minutes of the trading session. Jared Blikre is standing by on the floor of the New York Stock Exchange. Jared.
JARED BLIKRE: Well, decent turnaround today. We began with the NASDAQ in the red for about 1% and then we got some positive news potentially on the debt ceiling, some relief there, olive branch by Mitch McConnell and the Republicans. We don't know if the Democrats are going to take them up on the offer. We'll have to see what happens over the coming days.
But I'm looking at the sector leadership here, still fairly defensive. We have utilities, staples, and real estate leading. And those are definitely defensive sectors. They were leading when the market's all 11 sectors were in the red earlier, so kind of a remnant of that.
But then also the energy market, some notable developments there. We saw crude oil settled down about 2%. That's off of an "FT" report that there may be a release of the strategic petroleum reserve in the US that would add to oil supply, and also potentially Biden, the Biden administration limiting oil exports. That's a pretty drastic measure and a 2% correction in oil here doesn't reflect that.
So definitely not priced in but still very close to $80 a barrel. And fairly historically high here. So got to keep that in mind as well.
Also tracking the US dollar today. The Dixie's up, had been up close to, I believe, 3/4 of a percent, backed off those highs when we got the debt ceiling news from the Republicans. But a stronger dollar does pose headwinds for certain instruments that we'd like to watch, including crypto.
We were just talking about Bitcoin with a CoinDesk editor. I'm not going to spend a lot of time on it. Really nice to see the bullish price action there. But I'll tell you what, if we have a higher US dollar, if dollar trends higher over the coming weeks, probably not going to get that big surge to 100,000 that so many people have been waiting for.
- All right, Jared Blikre, thanks so much.