"The market's slump is over," observed Schaeffer's Senior Technical Strategist Ryan Detrick, CMT. "After five straight down days for the Dow Jones Industrial Average (DJI) and S&P 500 Index (SPX), the bulls came back swinging today. Sparking the buying was the stronger-than-expected jobs data. In the end, the SPX's weekly winning streak ended at eight weeks, but it was a very minor loss. All in all, early December typically doesn't do much, as it is the last two weeks that really move higher. So far, this year could be fitting that template pretty nicely."
Continue reading for more on today's market, including:
The Dow Jones Industrial Average (DJI - 16,020.20) spiked at the opening bell and kept trekking north, ending the session 198.7 points, or 1.3%, higher -- and reclaiming the 16,000 level. However, the index dropped 0.4% for the week. All 30 blue chips advanced, with Intel Corporation's (NASDAQ:INTC) 2.3% win leading the way.
The S&P 500 Index (SPX - 1,805.09) charted a similar path to the Dow, and added 20.1 points, or 1.1%, on the day. Meanwhile, the Nasdaq Composite (COMP - 4,062.52) finished the session up 29.4 points, or 0.7%, after tagging a fresh 13-year intraday high. On a weekly basis, the SPX was fractionally lower, while the COMP edged roughly 0.1% higher.
Elsewhere, the CBOE Volatility Index (VIX - 13.79) faltered out of the gate, and lost 1.3 points, or 8.6%, for the day. However, the "fear gauge" closed 0.7% higher for the week.
A Trader's Take:
"This is where things get complicated," said Detrick. "Everyone seems to think that stronger data is bad because it means the Fed will taper, and this of course will bring with it a huge drop in stocks. Personally, I'm not in that camp. The last time I saw everyone so certain of something was a year ago, when the fiscal cliff was going to wreak havoc on 2013. Well, we see how that turned out. Could the masses once again be worrying themselves for no reason? To me, I'd rather start to see some tapering and let the economy stand on its own footing."
3 Things to Know About Today's Market:
5 Stocks We Were Watching Today:
For a look at today's options movers and commodities activity, head to page 2.
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