Day Traders Diary

6/23/20

The major averages trade higher led by tech stocks once again. The Dow Jones Industrial Average climbed 131 points, or 0.5%, to close at 26,156. The S&P 500 ended the session up 0.4% at 3,131 while the Nasdaq Composite rose to a fresh record high up 0.7% at 10,131, notching its eighth straight daily gain.

Apple rose 2.1% and reached an all-time high as they unveiled a new operating system for its iPhones and computers. Apple also said it would use its own chips when building new Mac computers, ditching Intel's in the process.

Other tech-related names also lifted the broader market. Facebook advanced 1.3%. Amazon hit all-time high, closing 1.9% higher. Bank stocks rose broadly. JPMorgan Chase, Citigroup and Bank of America all rose at least 0.7%.

All 11 S&P 500 sectors started the session sharply higher after President Trump clarified that the U.S.-China trade deal was still intact and June flash Manufacturing PMIs out of Europe improved more than expected. There was brief weakness in the overnight futures market after trade advisor Navarro said the trade deal with China was over, which he later said was taken out of context.

The rally put the S&P 500 up more than 42% from its March 23 intraday low. The broad-market index was also down just 3.1% year to date.

Elsewhere, U.S. Treasuries finished near their flat lines in another lackluster session in the bond market, while gold futures rose 0.9% to $1782.00/ozt. The 2-yr yield was unchanged at 0.19%, and the 10-yr yield increased one basis point to 0.71%. The U.S. Dollar Index declined 0.3% to 96.72. WTI crude declined 0.5% to $40.38/bbl.