"We entered March options expiration day with very strong
momentum, but hit a bit of a speed bump," said Schaeffer's Senior
Equity Analyst Joe Bell on a day that saw the
Dow Jones Industrial Average (DJI)
end its 10-day win streak after the Thomson Reuters/University of
Michigan consumer sentiment index for early March came in lower
than expected. "Although the losses were mostly minor, today marked
the end of the streak of gains."
Continue reading for more on today's market, including
- Schaeffer's Senior Options Strategist Tony Venosa, CMT, shows
where to watch
home improvement chain Lowe's (
) for a potential long trade.
- Our Senior Trading Analyst Bryan Sapp on
today's market drop
that came despite a good day for Apple Inc. (
); plus, a technical look at Freeport McMoRan (
- How last-minute option shoppers
Apple in today's trading.
- The Dow takes a breather and ends its streak, prices jump --
but not enough to scare the Fed, and how all the uncertainty at
) drew out bearish option traders.
Dow Jones Industrial Average (DJI)
ended its winning streak at 10 days, falling roughly 25 points, or
0.2%, to finish at 14,514.11 for its first down day of March. The
30-member Dow saw just 10 of its members advance, led by Bank of
), which climbed 3.8%. The 19 decliners were paced by JPMorgan
Chase (JPM), which fell 1.92% after being grilled for the second
day by the U.S. Senate. UnitedHealth Group (UNH) was unchanged. For
the week, the Dow was up 0.8%.
S&P 500 Index (SPX)
also fell back, dropping 2.5 points, or 0.2%, to close at 1,560.70.
The SPX climbed 0.6% over the week. The
Nasdaq Composite (COMP)
finished at 3,249.07, down nearly 10 points, or 0.3%. For the week,
the COMP was up 0.1%.
CBOE Market Volatility Index (VIX)
was unchanged on the day at 11.30. The VIX fell 10.2% on the
A Trader's Take
"It was a good day for select banking names, as the Federal
Reserve released the second part of its 'stress test' report," Bell
noted. "While reactions were mixed, Bank of America (
) definitely stood out above the rest and led the way."
3 Things to Know About Today's Market
- February's consumer prices
at the fastest rate since 2009, with the Consumer Price Index
(CPI) jumping 0.7% -- primarily because of higher gas prices. The
year-over-year figure was still within the Federal Reserve's
comfort zone on its economic stimulus measures, however.
- JPMorgan Chase (JPM) is in
with Congress, with a new blistering Senate report saying the
nation's biggest bank ignored its own controls and misled
investigators looking into huge trading mistakes.
(The New York Times)
- Officials with airplane maker Boeing (BA) said today that its
787 Dreamliner could be in the air
as it implements new batteries and safeguards to keep them from
5 Stocks We Were Watching Today
- Groupon (
) found itself in
of bearish put traders who are looking to cash in on all the
uncertainty surrounding the online couponing site.
- Bearish investors also
Ford Motor Companies (F) with a big short-term play.
- An unusual rally in Eagle Bulk Shipping (EGLE) had option
looking for a win next month.
- Option traders
a short-term drop from computer video chip maker NVIDIA
- Volume for MGM Resorts International (MGM)
on the option floor following news that a major investor is
considering upping his stake in the company.
For a look at today's options movers and commodities
activity, head to page 2.
A drop in the U.S. dollar helped offset otherwise weak economic
data and pushed oil futures higher Friday. Crude for April delivery
jumped 42 cents, or 0.5%, to finish at $93.45 per barrel. For the
week, oil climbed 1.6%.
Higher-than-anticipated consumer-level inflation led gold
futures higher, with April-dated gold adding $1.90, or 0.1%, to
close at $1,592.60 per ounce. On a weekly basis, the precious metal
was up nearly 1%.
At the end of every market day, the staff at Schaeffer's
Investment Research reviews the trading day in detail, covering
major events and key market developments. Don't miss this
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