"Though the day started off with a better-than-expected durable
goods report, most participants still looked to unload their
positions ahead of the holiday weekend," observed Schaeffer's
Senior Equity Analyst Joe Bell, CMT. "After early selling, we once
again saw a midday surge that sent indices back near breakeven by
the close." In a pattern reminiscent of Thursday, the
Dow Jones Industrial Average (DJI)
dropped into the red at the open, only to pare its losses by the
closing bell. This was a hollow victory, though, as the index
suffered its first losing week since April 19.
Continue reading for more on today's market, including
Meet the Procter & Gamble (
) new boss (same as the old boss), and Sears Holdings (
) options bears rush in.
Dow Jones Industrial Average (DJI)
recovered from a negative start, clawing its way to a gain of 8.6
points, or 0.06%, by the close. Procter & Gamble (
) led the 14 gainers, rising 4.0%, while Hewlett-Packard (
) paced the 15 laggards, down 2.6%. DuPont (DD) finished flat. The
Dow ended at 15,303.10, off 0.3% from last Friday's close.
S&P 500 Index (SPX)
bounced from its intraday nadir of 1,636.88, but closed with a
fractional loss of 0.9 point, or 0.06%, at 1,649.60, just a hair
south of the round-number 1,650 mark. The
Nasdaq Composite (COMP)
was off just 0.3 point, or 0.01%, to finish the week perched at
3,459.14. On a weekly basis, both the SPX and the COMP gave back
CBOE Market Volatility Index (VIX)
ended close to breakeven as well, down less than 0.1 point, or
0.6%, at 13.99. This week, however, the VIX managed to add
A Trader's Take
"Consumer staples were the one sector to really buck the trend
this morning," observed Bell. "Most of the credit has to go to
Procter & Gamble, as the Dow component jumped 4% after
announcing the return of former CEO Alan Lafley."
3 Things to Know About Today's Market
Durable goods orders
rose by 3.3% in April, the Commerce Department reported. This was
a wider jump than economists had expected, partially due to
accelerated aircraft orders at Boeing (BA). The jet maker signed
51 orders for new planes last month, up from 39 in March.
- Procter & Gamble (
) rose in trading today, after the consumer-products giant
appointed former CEO A.G. Lafley
to the joint chairman and CEO roles. He will assume the reins at
the end of June, when outgoing CEO Robert McDonald takes his
- St. Louis Federal Reserve Bank President James Bullard said
inflation is the "wild card"
keeping the central bank from making any moves away from its
current bond-buying plans. "Before I am in favor of tapering
[these efforts]," I would like to see some assurance that
inflation is going to move back towards target," he told CNBC.
5 Stocks We Were Watching Today
- After an earnings-spurred plunge, Sears Holdings (
) saw a
throng of put buyers
- Our Option Idea of the Week: Sodastream International (SODA)
ready to bubble higher
in the near term.
- On the heels of strong earnings, GameStop (GME) earned a
- Bearish option traders kept their focus on VMware, Inc.
(VMW), as the stock
continues to struggle
- Molycorp Inc (MCP) option bulls tried to wrap up the week
For a look at today's options movers and commodities
activity, head to page 2.
Crude futures finished slightly lower today, tracking weakness
in stocks. Oil for July delivery shed 10 cents, or 0.1%, to end the
day at $94.15 per barrel. On a weekly basis, crude gave up
Gold prices also fell, as a solid report on U.S. durable goods
kept buyers on the sidelines ahead of the Memorial Day weekend.
June-dated gold lost $5.20, or 0.4%, to close at $1,386.60 per
ounce. For the week, the precious metal advanced 1.6%.
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