Day Traders Diary

6/18/20

The major averages are modestly lower down less than half a percent as investors weigh the rising number of coronavirus cases in the U.S. and around the world along coupled with disappointing unemployment data.

The Dow Jones Industrial Average is down over 100 points, or 0.5%. Earlier in the session, the Dow was down 271 points. It briefly recovered to trade positive before coming off those levels. The S&P 500 traded 0.3% lower. The Nasdaq Composite hovered along the flatline, aiming for its fifth straight gain.

Several states in the U.S. are experiencing a resurgence of infections. Arizona reported a record-high number of new confirmed cases, while Texas saw an 11% daily spike in hospitalizations for patients with Covid-19 on Wednesday. California, meanwhile, reported its largest-ever daily increase of coronavirus cases.

In China, the country's capital city has reportedly closed schools and canceled flights to contain the latest wave of coronavirus cases. However, a disease expert in China announced the latest outbreak of coronavirus cases in Beijing had been brought under control.

By midday, U.S. Treasury curve was undergoing some minor flattening activity. The 2-yr yield is flat at 0.19%, and the 10-yr yield is down three basis points to 0.70%. The U.S. Dollar Index is up 0.3% to 97.49 amid relative weakness in the British pound after the Bank of England increased its asset purchase program to GBP745 billion.

Jul Crude Oil futures rose $0.79 (2.08%) to $38.75/barrel. August gold settled today's session down $4.80 (0.28%) at $1730.8/oz.