"There wasn't much in the way of news today and the market
seemed to finally catch its breath after a
strong bounce this week
," stated Schaeffer's Senior Equities Analyst Joe Bell. "The
S&P 500 Index (SXP) is nearing potential resistance from its
May 2012 high, which could cause some short-term consolidation or a
slight pullback." The
Dow Jones Industrial Average (DJI)
battled back from an early 53-point deficit and secured a minor
victory by the close.
Keep reading to see what else was on our radar today:
And now, a look at the numbers...
The
Dow Jones Industrial Average (DJI - 13,175.64)
took the entire session to find a perch very near to where it
started the day. By the time the closing bell sounded, the Dow was
up 7 points, or 0.05%, notching its third straight settlement atop
13,100. Hewlett-Packard Company (
HPQ
) and Alcoa Inc. (
AA
) led the 19 winning issues with gains of 2.4% and 2.3%,
respectively. McDonald's Corporation (
MCD
) paced the nine underperformers with a 1.7% drop, while Bank of
America Corp (
BAC
) and Caterpillar Inc. (
CAT
) remained unchanged.
The
S&P 500 Index
(SPX - 1,402.22)
also eked out a fractional win today, turning in its second
straight close above 1,400. Meanwhile, the
Nasdaq Composite (COMP - 3,011.25)
tripped lower, but maintained its foothold above the 3,000 mark.
The COMP ended trading with a 4.6-point, or 0.2%, loss.
The
CBOE Market Volatility Index (VIX - 15.32)
marked its fourth consecutive close below 16, and its lowest
settlement since March 26. The VIX finished in negative territory
by 4.2%.
Today's highlight
: "
Homebuilders continued their strong price action
and bucked the overall flat market today," said Bell. "Other than
that, there wasn't much to cheer about and it made for a very quiet
day on the trading floor."
Turning to today's major market stories...
For today's activity in commodities, options, and more, head
to page 2.
Oil futures ended their three-day rally, as investors opted to
take profits in last-minute trading. Earlier in the session, the
commodity reached a new three-month peak after the Energy
Information Administration (EIA) reported a significant drop in
weekly crude stockpiles and as traders contemplated troubles in
North Sea refineries. By the close, September-dated crude peeled
back 32 cents, or 0.3%, to settle at $93.35 a barrel.
On the contrary, gold futures turned higher today, as volume on
the malleable metal saw its lowest level since September 2009. The
commodity was also supported by a bigger-than-projected rise in
second-quarter U.S. productivity. In abnormally quiet trading,
December-dated gold inched up $3.20, or 0.2%, to end at $1,616 an
ounce.
Levels to watch in trading...
-
Dow Jones Industrial Average (DJI - 13,175.64)
- support at 11,500; resistance at 14,000
-
S&P 500 Index (SPX - 1,402.22)
- support at 1,100; resistance at 1,500
-
Nasdaq Composite (COMP - 3,011.25)
- 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
Investment Research reviews the trading day in detail, covering
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