"Today was all about Mario and I'm not talking about the video
game," said Schaeffer's Senior Equities Analyst Joe Bell. "Mario
Draghi, the European Central Bank (ECB) president, dominated
headlines early in the morning when his comments reassured
investors that the ECB is 'ready to do whatever it takes to
preserve the euro.'" With that vote of confidence, the
Dow Jones Industrial Average (DJI)
rocketed some 255 points just one hour after the open.
Keep reading to see what else was on our radar today:
And now, a look at the numbers...
The
Dow Jones Industrial Average (DJI - 12,887.93)
maintained nearly all of its upbeat momentum today, finishing the
day just a stone's throw from its intraday best of 12,931.22. By
the time the closing bell rang, the Dow marked its best daily
performance in July, closing 211.9 points, or 1.7%, higher. While
Cisco Systems, Inc. (
CSCO
) was the single losing blue chip, off 0.3%, the 29 outperforming
issues were led by The Home Depot, Inc's (
HD
) 3.6% rise.
The
S&P 500 Index (SPX - 1,360.02)
and
Nasdaq Composite (COMP - 2,893.25)
also turned in impressive rallies on the day. By the time the dust
settled, the SPX jumped 22.1 points, or 1.7%, while the tech-rich
COMP leapt 39 points, or 1.4%.
The
CBOE Market Volatility Index
(VIX - 17.53) took a tumble today, backpedaling 9.4% and closing
just above its session low of 17.07, breaching its 20-day moving
average in the process.
Today's highlight
: "
Although Mario stole the headlines
, we actually had some nice economic reports this morning,"
acknowledged Bell. "The initial jobless claims and durable goods
orders came in much better than expected, and home building stocks
rebounded nicely after a tough day yesterday." Bell also noted that
"the energy sector led the way, while retail sectors lagged the
broad market."
Turning to today's major market stories...
For today's activity in commodities, options, and more, head
to page 2.
Crude futures notched their third consecutive daily gain today,
as European Central Bank (ECB) President Mario Draghi claimed he
would stop at nothing to save the euro from collapse. Plus,
first-time jobless claims fell sharply, which when coupled with the
new hopes for the euro zone, pulled the dollar lower. Against this
backdrop, September-dated oil added 42 cents, or 0.5%, to finish at
$89.39 a barrel.
Likewise, Draghi's comments supported gold futures, sending the
commodity to its second straight win. As the greenback suffered at
the hands of the euro -- which reached its best price since July 10
-- gold for August delivery tacked on $7, or 0.4%, to end at
$1,615.10 an ounce. Today marked the precious metal's highest close
since July 3.
Levels to watch in trading...
-
Dow Jones Industrial Average (DJI - 12,887.93)
- support at 11,500; resistance at 14,000
-
S&P 500 Index (SPX - 1,360.02)
- support at 1,100; resistance at 1,500
-
Nasdaq Composite (COMP - 2,893.25)
- support at 2,400; resistance at 3,400
Click the links for coverage on today's
notable annual highs
and
notable annual lows
.
At the end of every market day, the staff at Schaeffer's
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