Market Brief – Thursday 9/24/20

Stocks fell in overnight trading but investors were eager to buy today’s dip which sent stock prices higher in early trading. Treasury yields fell in overnight trading and were holding their overnight drop in early trading. After a strong two-day showing, the dollar was flat in early trading.

Initial jobless claims missed expectations with 870k new claims filed last week. Continuing claims fell to 12.580 million but also missed expectations. When factoring all forms of unemployment assistance, 26.044 million Americans are receiving benefits.

New home sales rose +4.8% in August and rose 43.2% from this time last year. The median new home price fell -4.3% from this time last year to $312,800.

The Kansas City Fed Composite and Manufacturing Indices expanded in September but at a slower rate.

Today’s $50 billion 7-year Treasury Note auction was met with decent demand as foreign bidders took 62.8% of the auction and domestic bidders took 16.6% of the auction, leaving securities dealers with 20.5% of the auction or $10.954 billion. Treasury yields were flat following the auction.

Stocks closed higher yet gave back much of their intra-day gains. Treasury yields closed closer on the day and the dollar closed slightly lower.