"We saw quite a bit of economic data released again this
morning, with most of the jobs numbers failing to beat
expectations," observed Schaeffer's Senior Equity Analyst Joe Bell,
CMT. "Today was all about Syria, though, as President Obama gave a
speech at the G-20 summit. Uncertainty remains high, and the market
experienced a ton of intraday volatility, but in the end, most of
the major sectors finished slightly in the green." Likewise, the
Dow Jones Industrial Average (DJI)
managed to ease earlier losses, and closed in positive territory
for the week.
Continue reading for more on today's market, including
- Schaeffer's Senior Options Strategist Tony Venosa, CMT, finds
11 reasons to be bullish on Pandora Media (
) in his latest
Chart of the Day
- Today's installment of
explores upside potential for Comcast (
), despite lingering skepticism on the Street.
- One spread strategist utilized weekly calls and puts to wager
minimal movement for BlackBerry (
ahead of any potential buyout developments.
The latest jobs report disappointed the Street, tensions
mounted between President Barack Obama and Russian President
Vladimir Putin, and Yelp (
) received two bullish analyst initiations.
Dow Jones Industrial Average (DJI - 14,922.50)
plunged to an intraday low of 14,789.40 early on in the session,
but clawed its way into the black during the afternoon. However, a
last-minute dip caused the blue-chip barometer to close 15 points,
or 0.1%, lower. The Dow's 15 advancers were led by
) 1.4% climb, while DuPont (DD) paced the 14 decliners with a loss
of 0.9%. General Electric (GE) remained unchanged. For the week,
the index managed a gain of 0.8% -- its first in five.
S&P 500 Index (SPX - 1,655.17)
took a similar tumble this morning, but eked out a slight advance
of 0.1 point, or 0.01%. Meanwhile, the
Nasdaq Composite (COMP - 3,660.01)
tacked on 1.2 points, or 0.03%. On a weekly basis, the indexes
added 1.4% and 2%, respectively.
CBOE Market Volatility Index (VIX - 15.85)
surged to a session high of 16.81 around 10:00 a.m. ET, and then
erased most of its gains throughout the day. By the close, the
"fear gauge" was 0.1 point, or 0.5%, higher, but finished the week
with a 6.8% decline.
A Trader's Take
"Although it seemed like it was going to be a big down day early
on, buyers came into the market in heavy force late this morning,
and helped the Dow rally more than 100 points off its session
lows," Bell summarized. "The market continues to remain resilient
in the face of all this uncertainty."
3 Things to Know About Today's Market
- The Labor Department said
rose by 169,000 in August, falling short of the consensus view.
Adding insult to injury, the job count for the two months prior
was downwardly revised by 74,000. Meanwhile, the unemployment
rate edged down to 7.3% from 7.4%, marking its lowest point since
December 2008. However, the participation measure dropped to its
lowest level since August 1978.
- Tensions grew between President Barack Obama and Russian
President Vladimir Putin at a G-20 summit today, as the two
potential military action against Syria
. Putin told reporters that Russia will continue to aid Syria --
which includes selling arms to the country -- should the U.S.
move forward with a military strike. After what he called a
"candid" discussion, Obama stated, "There are times where we have
to make hard choices if we're going to stand up for the things we
care about, and I believe that this is one of those times."
- During a speech in Omaha, NE, Kansas City Fed President
Esther George called for the Fed to begin
scaling back current stimulus measures
at its Sept. 17-18 meeting. While she noted that the tapering
could spark some market volatility, she surmised, "An appropriate
next step toward normalizing monetary policy could be to reduce
the pace of purchases from $85 billion to something around $70
billion per month."
5 Stocks We Were Watching Today
scored bullish brokerage initiations at Barclays and Deutsche
Bank in pre-market action.
- Short-term option players scooped up
puts, despite the stock tagging a fresh record high
- The latest
Option Idea of the Week
offers up a longer-term, bullish trading idea on
J.M. Smucker (SJM)
- Bearish sentiment continues to plague
, even as the security continues to trek higher.
- Put buyers and sellers set their sights on
, as both groups eyed the October 31 strike.
For a look at today's options movers and commodities
activity, head to page 2.
Crude futures surged to their highest close since May 2011, as
escalating tensions over Syria triggered concern over potential oil
disruptions in the Middle East. By the time the dust settled,
October-dated oil gained $2.16, or 2%, to end at $110.53 per
barrel. On a weekly basis, black gold surged 2.7%.
Meanwhile, gold futures advanced, as today's lackluster jobs
data led to a weaker dollar. The precious metal's December contract
added $13.50, or 1%, to finish at $1,386.50 an ounce. For the week,
however, gold dipped 0.7%.
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