The dynamics of today’s market action were sprightly as traders and investors who were quick to catch the early dip reaped substantial rewards, except for the energy sector where the bears ruled the day.
The overnight hours saw the S&P 500 futures index shedding as much as 20 handles, mirroring a decline in long-term US Treasuries. However, as the premarket session commenced, the bulls made their presence felt, nudging the index back up prior to the release of the ADP jobs report. The ADP’s revelation of a mere 89K private-sector jobs creation, a far cry from the anticipated 150K+, momentarily deterred the bulls. Yet, their retreat was short-lived.
The regular session commenced amidst a flurry of volatility, with mega caps spearheading a march upwards, eventually keeping the index in positive terrain for most of the day once the opening level was cleared. As the session neared its conclusion, the bullish sentiment carried the index from a flat stance to nearly 40 handles in the green during the last 2 hours, embodying a strong finish. When the dust settled, the S&P 500 futures had climbed 33 handles, marking the close at 4297.75.
Tesla Inc. (NASDAQ: TSLA) stole the limelight among the top components of the index, surging ahead as the day’s biggest winner. Whether it was dodging the UAW strike or the resilient stock performance despite a dip in Q3 production, Tesla ascended by 5.93% or $14.63, closing the day at $261.16.
This performance was over seven times the cash index’s gain of 0.81%.
On the flip side, the energy titan Exxon Mobil Corp. (NYSE: XOM) found itself in troubled waters, reverting back to levels not seen since the end of August. A tumble in crude oil futures by over 5.5% resonated with Exxon’s descent, as it nosedived by 3.74% or $4.33, ending the day at $111.50.