Fed Chair Jerome Powell's comments on a "transitory" period of low inflation deflated hopes for a potential rate cut on the horizon. Against this backdrop, the major stock market indexes turned lower, erasing earlier gains stemming from solid Apple (AAPL) earnings. By the close, the Dow, S&P 500, and Nasdaq were in the red, though the SPX touched a new record high before its reversal.
Continue reading for more on today's market, including:
- 3 reasons to grab calls on this insurance stock.
- This chip stock attracted bullish analyst attention after earnings.
- 2 drug stocks that made massive moves today.
- Plus, ULTA stock could heat up; the China stock set for a major breakout; and 2 blue chips to buy now.
The Dow Jones Industrial Average (DJI - 26,430.14) lost 162.8 points, or 0.6%, in today's trading. Apple was the best of the six Dow gainers, adding 4.9%, while on the flip side, Home Depot (HD) was the worst of the 24 losers with a 2.4% dip.
The S&P 500 Index (SPX - 2,923.73) fell 22.1 points, or 0.8%, after touching a record best 2,954.13 in intraday trading. The Nasdaq Composite (IXIC - 8,049.64) ended 45.8 points, or 0.6%, lower.
The Cboe Volatility Index (VIX - 14.80) was 1.7 points, or 12.8%, higher, for its highest close in over a month.
5 Items on our Radar Today
- Hulu announced that it gained over two times the number of subscribers as Netflix (NFLX) in its first quarter. While Netflix's user base still overshadows Hulu by a long shot, the smaller streaming service added 3.8 million subscribers in 2019, compared to Netflix, which posted a 1.74 million increase in its first quarter. (CNBC)
- A new gun bill passed in Florida today will let teachers legally arm themselves in the classroom. The bill was in response to a recent Parkland, Fla., high school shooting, and passed with a 65-to-47 vote in Florida's House of Representatives after a lengthy debate. (Reuters)
- How red-hot ULTA stock could make serious moves this summer.
- The China stock signaling a huge breakout.
- 2 blue chips flashing "buy" signals right now.
Data courtesy of Trade-Alert
Oil Drops on Inventories Glut
Oil erased yesterday's gains as U.S. crude inventories surged to 19-month highs. Political tensions in Venezuela, as well as the U.S. eliminating Iranian oil sanction waivers, helped dilute some of the losses, however. June-dated crude futures fell 31 cents, or 0.5%, to close at $63.60 a barrel.
Gold futures ended in the red today, with June-dated gold ending $1.50, or 0.1%, lower at $1,284.20 an ounce. After the Fed announcement, the contract deepened its losses in electronic trading.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.