"Earnings will get the headlines, but in the end, the bull
market continues to be in charge," observed Schaeffer's Senior
Technical Strategist Ryan Detrick, CMT. "Overall, earnings have
come in a little bit better than expected. They're not great by any
means, but again, it is always easier to bet on lowered
expectations, and that is what we're seeing. After a dip yesterday,
it was nice to see the bulls come right back today." On that note,
a few strong earnings reports -- along with some upbeat
manufacturing data out of China -- resulted in a near-triple-digit
gain for the
Dow Jones Industrial Average (DJI)
Continue reading for more on today's market, including
First-time jobless claims fell less than expected last week,
Carl Icahn increased his stake in Apple Inc. (
), and Facebook Inc (
) received a pre-earnings price-target adjustment.
Dow Jones Industrial Average (DJI - 15,509.21)
spent the session in positive territory, and touched an intraday
high of 15,528.63 around 3:00 p.m. ET. By the closing bell, the
index was up 95.9 points, or 0.6%. The Home Depot, Inc. (
) led the 20 advancing blue chips with a gain of 2.3%, while
AT&T Inc.'s (T) 1.8% loss paced the 10 laggards.
S&P 500 Index (SPX - 1,752.07)
was also parked in the green for most of the day, and finished 5.7
points, or 0.3%, higher -- back above the key 1,750 level.
Nasdaq Composite (COMP - 3,928.96)
advanced 21.9 points, or 0.6%, on the day.
CBOE Volatility Index (VIX - 13.20)
moved higher at the start of today's trading, only to shave off 0.2
point, or 1.6%, by the close -- finishing near its intraday
A Trader's Take
"Small-caps once again took charge, leading markets higher
today," Detrick continued. "Also, the action in homebuilding stocks
is worth noting. With interest rates experiencing a surprise dip
over the past two weeks, homebuilders are starting to grow again.
That is the nice thing about this bull market -- one sector might
start to dip, and another steps up. Money doesn't just disappear,
it rotates. You could make the same argument that semiconductors
are starting to lag, but now we have the housing sector picking up
3 Things to Know About Today's Market
Data out of China
was a market driver again this morning, as the region's flash
purchasing managers index (PMI) climbed to 50.9 in October,
marking a seven-month peak.
Here at home
, however, Markit's flash PMI reading for October arrived at 51.1
-- down from the previous month's figure of 52.8, and reflecting
the index's lowest level in a year.
- The Labor Department said
initial jobless claims
fell by 12,000 to a seasonally adjusted 350,000 last week.
Economists, on average, were expecting a drop to 340,000.
- Carl Icahn penned a letter to Apple Inc. (
) CEO Tim Cook announcing that he has
increased his stake in the tech giant
to 4.7 million shares. The activist investor is now calling for
the company to buy back $150 billion in stock at a per-share
price of $525.
5 Stocks We Were Watching Today
- Ahead of next week's earnings report,
Facebook Inc (
received a price-target hike at JMP Securities.
Microsoft Corporation (MSFT)
speculator did some profit taking ahead of tonight's turn in the
- A cautious current-quarter outlook from
Akamai Technologies, Inc. (AKAM)
resulted in a pair of downward price-target adjustments.
Chesapeake Energy Corporation (CHK)
saw a surge in call volume as the firm prepares to report
quarterly earnings next month.
- Pre-earnings call activity ran hot on
JetBlue Airways Corporation (JBLU)
, as one trader targeted the November series of options.
For a look at today's options movers and commodities
activity, head to page 2.
Crude futures snapped their losing streak, thanks to some upbeat
manufacturing data out of China, which could bode well for energy
demand. By the closing bell, the December contract tacked on 25
cents, or 0.3%, to finish at $97.11 per barrel.
Meanwhile, gold futures notched a five-week closing peak, as the
same overseas news propelled the malleable metal higher.
December-dated gold gained $16.30, or 1.2%, to end at $1,350.30 an
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