Friday 6/28/19=DJIA +73 NASDAQ +38
There was another nice surge in the tech sector today. The Nasdaq was up 58 points. In the meantime, the G-20 summit is underway in Osaka, Japan.
Here was the mood of the market as we began a new day in the market. The big G20 summit is now under way.
- G20 optimism boosts stocks, G20 tensions weigh on equities… While that’s most of the rhetoric investors have been hearing this week, the moment of truth has finally arrived.
- As the big gathering kicks off in Osaka, Japan, U.S. stock index futures are in green, with the DJIA ahead by 81 points.
- Trade will be at the top of the agenda today, however, the most anticipated meeting between President Trump and China’s Xi will take place Saturday morning.
- Hopes are high for the two leaders to write the last chapter in their trade war, which has reverberated across the global economy.
- 30-year fixed-rate mortgage averages 3.73% for the week ending June 27, 2019, down 11 basis points from 3.84% in the previous week, according to Freddie Mac’s Primary Mortgage Market Survey.
- Compares with 4.55% a year ago.
- Through late June, home purchase applications improved by five percentage points compared to the previous month,” said Freddie Chief Economist Sam Khater. “In the near-term, we expect the housing market to continue to improve from both a sales and price perspective.”
- 15-year FRM averages 3.16% vs. 3.25% in the previous week and 4.04% at this time a year ago.
- 5-year Treasury-indexed hybrid adjustable-rate mortgage averages 3.39% vs. 3.48% in the previous week and 3.87% a year ago.
- Homebuilders shares are rising. BlackRock’s iShares U.S. Home Construction ETF (ITB +0.7%); among ITB’s holdings, D.R. Horton (DHI +1.1%), NVR (NVR +1.3%), PulteGroup (PHM +0.3%).
- The U.S. lead M&A globally in the second quarter of 2019 as companies seized on strong equity and debt capital markets to agree on mega combinations.
- Among the top deals were the $121B agreed merger of United Technologies with Raytheon, AbbVie’s $63B agreement to acquire Allergan and Occidental Petroleum’s $38B deal to buy Anadarko Petroleum.
- U.S. M&A totaled $466B in Q2, down just 3% from a year ago, while dealmaking in Europe plunged 54% to $152B and Asia M&A dived 49% to $132B.
I sent out tweets on the following stocks today: ATNX, RARX, SKYW, ILMN, AVLR, KRNT & PODD.