Pre Market - Snapshot - 05-10-2021

 


US stocks fell on Monday as participants awaited new economic and earnings data. The supply chain challenges, inflation and the pace of the labor market recovery topped the minds of investors. Dow dropped  0.90%, S&P 500 and the Nasdaq Composite fell 1.30% and 2.10% respectively. Big tech names like Facebook were hit hard on worst outage since 2008 and whistleblower's testimony on company prioritizing profits at the expense of public safety. 

US dollar index fell for the second day to trade near 93.82, 10 year moved higher near 1.49% and Cboe Vix too inched up to close just below 23. 


The decision of OPEC+ to raise output gradually and not to open the tap in a hurry pushed oil to 7 year highs, WTI moved close to 78, Brent topped 81. 


Gains in Metals, Power and PSU banks took Indian indices higher by close to 0.90% after four days of selling during last week.  Mid and Small cap stocks also saw strong gains in excess of 1.50% outperforming the markets. 


For the day watch for some consolidation ahead of crucial vote on US government shutdown and some headwinds from oil. Short term traders may wait for intraday pull backs before taking long calls and medium term traders can watch for fresh breakouts to trade.

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