"Overall we had a nice day, with much of the momentum getting
kick-started by strong overseas price action," observed Schaeffer's
Senior Equity Analyst Joe Bell, CMT. "There were a lot of earnings
and economic reports released, with initial jobless claims and the
ISM manufacturing index coming in better than expected." As a
Dow Jones Industrial Average (DJI)
notched a triple-digit gain, and added yet another record day under
Continue reading for more on today's market, including
- In the most recent installment of his
Chart of the Day
column, Schaeffer's Senior Options Strategist Tony Venosa, CMT,
predicts what to expect from First Solar (
) as earnings loom.
- The latest edition of
takes a closer look at the skepticism surrounding Las Vegas Sands
- Downtrending Molycorp (
) attracted a crop of
weekly call buyers
on expiration eve.
A multi-year low for initial jobless claims, Whole Foods (
) manages to best consensus earnings estimates, and Yelp (
) enjoys some upbeat brokerage attention.
Dow Jones Industrial Average (DJI - 15,628.02)
shot up to a record intraday peak of 15,650.69 within the first
hour of trading, and finished the session with an advance of 128.5
points, or 0.8%, to hit a new all-time closing high, as well. The
blue-chip bellwether's 24 advancers were led by American Express'
(AXP) 2.5% gain, while a post-earnings Exxon Mobil (XOM) paced the
five decliners with a loss of 1.1%. Alcoa (AA) remained
S&P 500 Index (SPX - 1,706.87)
also touched an all-time intraday high of 1,707.85 -- as well as a
record closing peak -- adding 21.1 points, or 1.3%, by day's end.
It was the first-ever move (and close) above 1,700 for the index.
Not to be outdone, the
Nasdaq Composite (COMP - 3,675.74)
hit another 12-year acme of 3,678.50 before ending with a gain of
49.4 points, or 1.4%.
CBOE Market Volatility Index (VIX - 12.94)
spent the entire session in the red, and finished 0.5 point, or
A Trader's Take
"It was a great day for consumer discretionary and
transportation equities," continued Bell. "Con-way (CNW) reported
better-than-anticipated earnings, and almost every transportation
stock remained strong throughout the session."
3 Things to Know About Today's Market
- The Institute for Supply Management (ISM) said its
arrived at a stronger-than-expected reading of 55.4 last month.
This latest figure not only marked an increase over June's
reading of 50.9, but was the index's highest level since June
- The Labor Department revealed that
first-time jobless claims
fell by 19,000 last week to a seasonally adjusted 326,000. This
drop exceeded the consensus view, and brought the number of
initial unemployment claims down to a five-year low.
- Whole Foods (
fiscal third-quarter profit
of $142 million, or 38 cents per share -- denoting a 21% increase
from the year-ago period, and besting analysts' projections by a
penny. The firm also upped its full-year outlook to a range from
$1.45 to $1.46 per share, compared to the previous estimate of
$1.43 to $1.45 per share.
5 Stocks We Were Watching Today
received some positive brokerage attention following yesterday's
turn in the earnings confessional.
- Short- and long-term speculators scooped up
Potash Corp of Saskatchewan (POT)
call options, despite today's new low.
- After posting strong quarterly earnings this morning,
Chesapeake Energy (CHK)
scored an analyst upgrade.
- Sentiment surrounding
has been bullishly skewed ahead of tonight's earnings
- Speculators showed an rare interest in
calls, focusing on the January series of options.
For a look at today's options movers and commodities
activity, head to page 2.
Crude oil futures finished higher today, as the latest round of
economic reports increased expectations for energy demand. By the
time the closing bell rang, September-dated crude gained $2.86, or
2.7%, to end at $107.89 per barrel.
Meanwhile, that same batch of economic data weighed on gold
futures, as a subsequently stronger dollar resulted in the
malleable metal's third consecutive close in the red. The
December-dated contract fell $1.80, or 0.1%, to finish at $1,311.20
All Rights Reserved. Unauthorized reproduction of any SIR publication is strictly prohibited.