Market check: Stocks fall, energy sector up, Japanese yen rises

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Yahoo Finance’s Jared Blikre breaks down how markets opened on Tuesday.

Video Transcript


JULIE HYMAN: Welcome back to Yahoo Finance Live. Let’s take a look at markets here, as we are seeing some slippage. Our Jared Blikre is on the floor of the New York Stock Exchange with some details for us. Hey, Jared.

JARED BLIKRE: Hey there, Julie. Well, as you pointed out earlier in the show, we are, indeed, just kind of zigzagging along here. Let’s take a look at the YFi Interactive, where we were seeing the S&P 500 start the day down. But this is a two-month candlestick chart. Not the usual year to date that we look at, so you can see a little bit more detail.

We are definitely in a trading range right now, and we are at the lower end. And the timing is interesting. It is a Tuesday morning. So I would look for a potential reversal to the upside in the first hour of trading. That might suggest that we are on our way to the upside for the week. But nevertheless, until we break out of this range, doesn’t matter that much.

A couple of things I’m keeping my eye on– the bond market in particular. We got the 10-year and the five-year at about 3.0%. Here’s the 10-year. Here is that five-year looking a little bit stronger there, back up by its highs. And then we want to take a look at the Japanese yen. There we go, USD, JPY.

Now let me put a line chart on here. We are at the highest level that we have seen in two months. Guess what? Two years, five years, 10 years. We’ve got to put a max chart on because we are at the highest levels since 2001, 2002. And that is risk-on. So it suggests there might be some resolution to the upside here, which would frustrate a lot of people who are just waiting for that all-clear capitulation– just throwing that out there.

So, today, we have energy in the forefront again. That’s up 1%, followed by healthcare. Everything else in the red. Consumer discretionary leading the way down, not surprisingly with that tech– with that Target news. Now, here’s the NASDAQ 100. We’re seeing some weakness in Amazon. Again, that’s probably a retail story. That’s down about 2 and 1/2%.

And just, let me pull up a chart here. We haven’t taken a look at Amazon in a while, but it has been trading– excuse me– it has been trading in a range. Here’s a three-year chart. We are back down to potential support around 105, so we’re going to have to see what happens in here. But 140 is the level that it broke down from and probably not going to mean much until it gets back up there and can push through. But this is a very range bound stock recently.

Let’s take a look at some of the other sectors. I want to take a look at China because that has been on the move. You notice all the green here. That is a departure from what we have seen in all the other stocks and all the other industry classes here. So China is on my radar here, potentially, potentially breaking to the upside.

BRAD SMITH: All right, Yahoo Finance’s own Jared Blikre on the floor of the New York Stock Exchange. Thanks so much for the updates there, Jared. We’ll check back in later on today.