Markets Hit Record Intraday Peaks, Despite Sluggish Economic Data

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"The news about the Iran nuclear deal caused some excitement this morning, but near the end of the day, everything was nearly flat, and volume was light," noted Schaeffer's Senior Technical Strategist Ryan Detrick, CMT. "Historically, Thanksgiving week has a bullish tint to it, with most of these gains coming later in the week." Meanwhile, the Dow Jones Industrial Average (DJI) , S&P 500 Index (SPX) , and Nasdaq Composite (COMP) all achieved technical milestones before paring their respective intraday gains.

Continue reading for more on today's market, including :

plus...
    Iran agreed to curb its nuclear program, pending home sales hit a near-12-month low, and outperforming Pandora Media Inc ( P ) received some downbeat analyst attention.

The Dow Jones Industrial Average (DJI - 16,072.54) churned higher for a large portion of the session, and touched an all-time intraday high of 16,109.63 around 2:30 p.m. ET. By the closing bell, however, the blue-chip bellwether was up a mere 7.8 points, or roughly 0.1% -- just enough to mark a record closing peak. Caterpillar Inc. ( CAT ) led the Dow's 18 advancers with a gain of 1.8%, while a 2.2% drop for The Boeing Company ( BA ) paced the 12 decliners.

The S&P 500 Index (SPX - 1,802.48) tagged its own record intraday peak of 1,808.10 shortly after the opening bell, but ended up finishing 2.3 points, or 0.1%, lower by session's end. Meanwhile, the Nasdaq Composite (COMP - 3,994.57) hit a new 13-year high of 4,007.09, and added 2.9 points, or 0.1%, on the day.

The CBOE Volatility Index (VIX - 12.79) was parked in the green for the entire day, and was 0.5 point, or 4.3%, higher by the closing bell.

CLOSING SUMMARY - INDICES

CLOSING SUMMARY - NYSE AND NASDAQ

A Trader's Take :

"The Nasdaq hit 4,000 for the first time in 13 years, although it wasn't able to close above this area," Detrick went on. "With the Dow near 16,000 and the SPX near 1,800, all three major indexes are near psychologically significant areas. Still, we remain impressed by the fact that small-caps and financials continue to reach new highs, as well. One of the knocks on the 2000 peak was how the only sector going up near the end was tech stocks. Looking at the 2007 peak, financial stocks were big-time laggards for months before the ultimate peak. Turning to the present, we have very broad-based strength in various sectors. Sure, we could have a pullback at any time, but with this much broad-based strength, it does look good for continued gains going out longer term."

3 Things to Know About Today's Market :

  • Iran reached a deal with several world powers over the weekend, under which the country has agreed to ease its nuclear program. In exchange, the temporary pact forged with the United States, France, Germany, Britain, China, and Russia grants Iran initial sanctions relief. (Reuters)
  • The National Association of Realtors said pending home sales fell 0.6% in October, marking a fifth consecutive monthly decline. This latest figure -- which was partially attributed to the government shutdown -- also marked the slowest sales pace in nearly a year. (CNBC)
  • The Dallas Fed revealed that its general business activity index arrived at 1.9 in November, down from a reading of 3.6 in the month prior. On a more upbeat note, however, the company outlook index climbed to 8.0 from 5.4. (The Wall Street Journal)

5 Stocks We Were Watching Today :

  1. Pandora Media Inc ( P ) received a bearish brokerage note at Morgan Stanley, despite the stock's impressive year-to-date gains.
  2. Puts were active on Facebook Inc (FB) , with one group of traders focusing on the front-month series of options.
  3. QUALCOMM, Inc. (QCOM) shares faltered following Friday's new high, amid news of an investigation being launched overseas.
  4. Near-term call players zeroed in on Sirius XM Holdings Inc (SIRI) , but some of these speculators may have been skeptics in disguise.
  5. Take-Two Interactive Software, Inc. (TTWO) attracted a crop of option bears, who bet on notable losses for the security by early next year.

EARNINGS

For a look at today's options movers and commodities activity, head to page 2.

STOCKS - NOTABLE CALL ACTIVITY

STOCKS - NOTABLE PUT ACTIVITY

Commodities :

Crude futures edged south today, as an agreement over Iran's nuclear program pressured oil prices lower. By the close, the January contract lopped off 75 cents, or 0.8%, to end at $94.09 per barrel.

Likewise, the same headlines weighed on gold futures, with December-dated gold falling $2.90, or 0.2%, to finish at $1,241.20 per ounce.

SCHAEFFER'S MARKET POSTURE



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

All Rights Reserved. Unauthorized reproduction of any SIR publication is strictly prohibited.


This article appears in: Investing , Options

Referenced Stocks: AAPL , BA , CAT , P , WMT

Schaeffer's Investment Research

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