"There was little in the way of news today, and most major
sectors made very small moves," summarized Schaeffer's Senior
Equity Analyst Joe Bell, CMT. "After the strong run-up in
small-caps over the past several trading sessions, it was clear
that market participants were taking a bit of a pause." The
Dow Jones Industrial Average (DJI)
spent most of the session just south of breakeven, but closed
ever-so-slightly in the black to secure another new closing high.
Trading Topic of the Week
Continue reading for more on today's market, including
-- Tips for Short-Term Trading:
Check the charts for key support and resistance
. Your time frame may be brief, but don't neglect those long-term
charts -- or you could overlook a key stumbling block for the
Dow Jones Industrial Average (DJI - 16,945.92)
was in the red for most of the day, but popped into positive
territory just before the close. The index's 2.8-point gain was
enough to put another new closing high in the books. The Dow's 16
advancers were led by Intel Corporation (
), which gained 1.2%. International Business Machines Corp. (IBM)
paced the declining minority with a 1% drop.
On the other hand, the
S&P 500 Index (SPX - 1,950.79)
stayed below breakeven into the closing bell, settling off 0.5
point but holding above the critical 1,950 level. The
Nasdaq Composite (COMP - 4,338.00)
edged into the green, rising 1.8 points.
CBOE Volatility Index (VIX - 10.99)
traded on both sides of the flat line today but closed slightly
lower, off 0.2 point, or 1.4%, to move back south of 11.
A Trader's Take
"While many of the leaders in recent days struggled a bit, some
of the consumer staples and more defensive names held up relatively
well," added Bell. "Overall, it was a pretty lackluster day for
stocks, with very little movement."
5 Items on Our Radar Today
- The National Federation of Independent Business reported that
its Small Business Optimism Index
ticked 1.4 points higher
to 96.6 in May, marking its highest level since September 2007.
Also, the Labor Department announced that job openings rose by
289,000 in April to a seasonally adjusted 4.46 million, the
highest monthly reading since August 2007.
- Wholesale inventories
increased 1.1% in April
, while wholesale sales advanced 1.3%. Against this backdrop, the
inventory-to-sales ratio held steady at 1.18 months.
- Amid continued expectations for a merger with T-Mobile US Inc
Sprint Corporation (
trader extended her bullish bet by rolling calls up and out.
- Big movers in the biotech sector today included
Achillion Pharmaceuticals, Inc. (ACHN) and Inovio
Pharmaceuticals Inc (NYSEMKT:INO)
Twitter Inc (TWTR)
scored an upgrade from Wells Fargo, but continues to struggle
with technical resistance.
For a look at today's options movers and commodities
activity, head to page 2.
July crude futures inched lower today, ahead of tomorrow's
weekly report on crude inventories. The most active contract gave
back 6 cents to end the day at $104.35 per barrel. Also in focus
for oil watchers this week is tomorrow's meeting of the
Organization of the Petroleum Exporting Countries (OPEC) -- its
first gathering of 2014.
Gold futures moved slightly higher today, as equities tapped the
brakes and investors prepared for the rest of this week's economic
reports. August-dated gold rose $6.20, or 0.5%, to settle at
$1,260.10 an ounce.
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