"Economic data was light today, as Syria continues to hover in
the background," observed Schaeffer's Senior Equity Analyst Joe
Bell, CMT. "There are some rumors that Congress has delayed making
a decision on the issue at this point, so many market participants
remain unsure of how exactly this will play out. Overall, it was
nice to see the market show some resilience at the start of
September, amid all of the uncertainty over Syria and the Fed."
Against this backdrop, the
Dow Jones Industrial Average (DJI)
finished the day with a near-triple-digit gain.
Continue reading for more on today's market, including
- Schaeffer's Senior Trading Analyst Bryan Sapp explains why
"sticking with the bear case"
for the near term, and offers up a bullish trading idea on DuPont
- A broader sentiment perspective on Yahoo! (
toward the Internet giant, ahead of tonight's new logo
- Call buyers and sellers pounced on J.C. Penney (
) today, following news that Glenview Capital Management LLC
expanded its stake
in the retailer.
The NASDAQ OMX Group (
) experienced a trading glitch, the Fed's Beige Book revealed an
improvement in economic conditions, and the latest Apple (
) buzz resulted in a bullish brokerage initiation for the
Dow Jones Industrial Average (DJI - 14,930.87)
spent the majority of the session in the green, touching an
intraday high of 14,956.74 during the early afternoon hours. By the
close, the blue-chip bellwether was 96.9 points, or 0.7%, higher.
Intel (INTC) led the Dow's 26 advancers with a gain of 2.6%, while
Microsoft (MSFT) paced the four decliners with a loss of 2.2%.
S&P 500 Index (SPX - 1,653.08)
also remained in positive territory throughout most of the day,
advancing 13.3 points, or 0.8%, by the closing bell. Meanwhile, the
Nasdaq Composite (COMP - 3,649.04)
climbed 36.4 points, or 1%.
After a brief blip higher this morning, the
CBOE Market Volatility Index (VIX - 15.88)
was parked in the red for the rest of the session, losing 0.7
point, or 4.4%, on the day.
A Trader's Take
"Stocks began the session near breakeven, but fought hard
throughout the day, and most major sectors finished with pretty
nice gains," Bell said. "Nasdaq and tech components led the way, as
) rallied on speculation that the company is set to announce some
new products next week."
3 Things to Know About Today's Market
- NASDAQ OMX Group (
suffered a technical "hiccup"
today, following the massive outage that took place on Aug. 22.
However, the latest glitch resulted in a six-minute outage for
just a handful of securities, and exchange officials quickly
resolved the issue, assuring investors that trading was not
- According to the Federal Reserve's
, the economy grew at a "modest to moderate pace" throughout most
of the U.S. in July and August -- hinting that the central bank's
bond-buying program could be scaled back in the near future. The
report also stated, "Consumer spending rose in most districts,
reflecting, in part, strong demand for automobiles and
- The Commerce Department said the
U.S. trade gap
widened by a larger-than-expected 13.3% in July to a seasonally
adjusted $39.1 billion, amid growing demand for oil and imported
autos. More specifically, the expanded deficit -- which sank to
its lowest point in nearly four years in June -- was attributed
to a 1.6% increase in overall imports, while exports dropped
5 Stocks We Were Watching Today
received some bullish analyst attention, amid news that the
iPhone maker is holding a major media event next week.
- Bullish near-term traders swarmed
General Electric (GE)
, and wagered on the stock to trek higher by week's end.
- BMO lowered its price target for
, following the company's acquisition of Nokia's (NOK) handset
- A strong August sales report for
lured call buyers to the automaker's short-term options
saw a surge in October-dated put volume, as option bears bet on a
post-earnings decline for the security.
For a look at today's options movers and commodities
activity, head to page 2.
Crude futures suffered their lowest close in over a week, as
Wall Street awaits further news on Syria, as well as the latest
update on petroleum supplies. By the time the dust settled,
October-dated oil had shed $1.31, or 1.2%, to end at $107.23 per
Meanwhile, gold futures also declined due to uncertainties
regarding Syria, and hit their lowest close in almost two weeks.
The precious metal's December contract fell $22, or 1.6%, to finish
at $1,390 an ounce.
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