On Wednesday, the 6th of March 2019, all three key indexes of Wall St. had closed the day deep in the red for third straight days, while Standard & Poor 500 had reported its biggest intra-day drop in a month. Wednesday’ market was largely whiplashed by a major slump of energy and healthcare stocks, and investors appeared to be looking out for a reason to purchase again after a strong rally at the beginning of the year.
As on last Tuesday (March 5th), the corporate earnings season concluded, traders are not seeking for further catalysts which could drive the market, including a prepotent trade accord readied to be sealed between the US and China on March 27th.
In a near-term outlook, investors are eyeing major economic data such as US employment report scheduled to be released by next Friday (March 8th). Although S&P had experienced a heavy hammering on Wednesday’s market, so far it had been the largest gainer among all three key indexes of Wall St.
in 2019, posting 10.6 percent rise so far over-optimism of a trade deal and a less hawkish Federal Reserve’s Monetary Policy, Citing a trendless price action set up this week, a chief market strategist at Ameriprise Financial in Boston, David Joy, said, “In the absence of positive catalysts, it’s easy to take profits.
I don’t think today’s price action is necessarily indicative of a trend. It’s just churning within what is now almost a three-week sideways move in the market”. At Wednesday’s (March 6th) market closure, Dow fell 0.52 percent and S&P 500 shed 0.65 percent, while the Nasdaq Composite curbed 0.93 percent of yesterday’s gain.