Yields rise as risk-off sentiment dominates market mood

Published: September 22 2022, 22:00 GMT+0

Yields rise as risk-off sentiment dominates market mood

  • Costco & Accenture plc Class A (Ireland) are the latest companies to report Q2 earnings while Nike and Micron Technology next
  • Bright Health was the biggest decliner today after giving up 4.24%
  • European markets were down today as CAC is currently down 1.87% and trading around 5,918.5.

Today's market activity meant that leading equity indices in the US declined as Nasdaq lost 1.37% and ended the session at 11,067. S&P 500 was down 0.84% before closing the session at 3,758. Dow Jones slipped 0.35% and closed at 30,077.

US markets are now currently closed and set to reopen tomorrow; meanwhile, European markets were down today as CAC is down by 1.87%, reaching 5,918.5 Asia-Pacific markets closed lower today.

In a tough day for US markets, both stocks and bonds suffered from risk-off sentiment and a higher likelihood of a hawkish Fed at its next FOMC meeting. The iShares U.S. Treasury Bond ETF declined 0.99% to trade at $22.94.

The earnings season is coming to an end and Costco & Accenture plc Class A (Ireland) have release their reports.

Market's down-tick coincides with some negative macro data published earlier as Crude Oil Inventories in United States fell short of market expectations (2.16 million) with a reading of 1.14 million, continuing the decline from the previous figure of 2.44 million.

Markets are trading lower today despite some positive data published earlier as United States Initial Jobless Claims beat the 218,000 projections, with 213,000.

Amid the market gloom, United States Interest Rate released yesterday at 18:00 UTC with a figure of 3.25, while the previous figure was 2.5.

Furthermore, United States Fed Chair Powell speech scheduled to come out tomorrow at 18:00 UTC.

While markets are generally down so far today, some stocks outperformed such as Outbrain gained 6.59% to reach $3.72. Playtika (up 6.03%) is also performing well.

Today's bearishness meant that Bright Health lost 4.24% today before closing at $1.13.

Daily trading volume (479,983 shares) was slightly above the current multiday average of 461,361.

Bearish mood pushes Bright Health to session low of $1.08

Today's session continued the recent downtrend: after ending yesterday at $1.18, Bright Health fell down to $1.08 today and closed at $1.13 — losing 4.24% of its value. Bright Health's market cap is currently $711.56 million with an average daily trading volume of 1.97 million shares. So far in 2022, it has been doing worse than the Nasdaq by 27.17%.