Stock Market Update

[BRIEFING.COM] The stock market had a mixed showing. The major indices ultimately settled near their best levels of the session thanks to a late afternoon push higher. The S&P 500 closed less than one point higher than yesterday after being down as much as 1.0%. The Nasdaq Composite traded as low as 1.4% and closed only 0.1% lower. The Dow Jones Industrial Average, which traded down as much as 0.4%, closed 0.3% higher than yesterday. 

Many stocks participated in the afternoon improvement, which mostly occurred after the cash session concluded in the bond market. The 10-yr yield settled four basis points higher at 4.41% and the 2-yr yield settled three basis points higher at 4.30%. Treasury yields initially moved lower in response to some geopolitical angst as reports indicated Ukraine had fired UK-made missiles into Russia.

Early safe-haven buying dissipated, though, after Fed Governor Bowman (FOMC voter) indicated that she would like to proceed cautiously in bringing down the policy rate and after today's $16 billion 20-yr bond auction met weak demand. 

Weakness in the mega cap space limited index performance throughout the session. Retailers were also noticeably weak after Target's (TGT 121.72, -33.16, -21.4%) disappointing guidance. 

S&P 500 sector performance was mixed, leaving the health care (+1.2%) and energy (+1.0%) sectors at the top of the leaderboard while the consumer discretionary (-0.6%), financials (-0.3%), and information technology (-0.2%) sectors brought up the rear.

• Nasdaq Composite: +26.4%
• S&P 500: +24.1%
• S&P Midcap 400: +16.2%
• Dow Jones Industrial Average: +15.2%
• Russell 2000: +14.7%

Reviewing today's economic data:

• Weekly MBA Mortgage Applications Index, which increased 1.7% with purchase applications increasing 2% and refinance applications rising 2%
• Weekly EIA crude oil inventories showed a build of 545,000 barrels

Thursday's economic calendar features:

• Weekly Initial Claims at 8:30 ET (Briefing.com consensus 221K; Prior 217K)
• Weekly Continuing Claims at 8:30 ET (Prior 1873K)
• November Philadelphia Fed Index at 8:30 ET (Briefing.com consensus 7.0; Prior 10.3)
• October Existing Home Sales at 10:00 ET (Briefing.com consensus 3.90 mln; Prior 3.84 mln)
• October Leading Home Sales at 10:00 ET (Briefing.com consensus -0.3%; Prior -0.5%)