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Dow Jones Industrial Average Shrugs Off Iffy Data to End Higher

The DJI closed comfortably higher, but tech stocks notched the biggest gains

by 8/13/2014 4:18:52 PM
Stocks quoted in this article:

The Dow Jones Industrial Average (DJI) settled convincingly higher today, despite a less-than-stellar report on retail sales. While the data fell short of expectations, it also helped to assuage concerns that a Fed rate hike may be imminent. (Meanwhile, today's speeches from Fed Presidents Dudley and Rosengren were completely free of policy clues.) As a result, stocks stayed on positive ground throughout the session, with a strong showing by Amazon.com, Inc. (NASDAQ:AMZN) setting the pace for the outperforming tech sector.

Continue reading for more on today's market, including:

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The Dow Jones Industrial Average (DJI - 16,651.80) closed on a gain of 91.3 points, or 0.6%, as 29 of its 30 components advanced. Intel Corporation (NASDAQ:INTC) led the way with a 2.9% jump, while Wal-Mart Stores, Inc. (NYSE:WMT) was the lone laggard, shedding 0.3%.

The S&P 500 Index (SPX - 1,946.72) tacked on nearly 13 points, or 0.7%, and finished less than two points away from its session high. The Nasdaq Composite (COMP - 4,434.13) led the pack by rising 44.9 points, or 1% -- and, similar to the SPX, the COMP settled just fractions of a point from its intraday peak.

The CBOE Volatility Index (VIX - 12.90) fell 1.2 points, or 8.7%. In the process, the VIX settled beneath its 20-day moving average for the first time since July 23.

CLOSING SUMMARY – INDICES

CLOSING SUMMARY – NYSE AND NASDAQ

5 Items on Our Radar Today:

  1. Retail sales were flat in July, according to the Commerce Department, defying expectations for a gain of 0.2%. Disappointing vehicle sales were a factor; however, sales were up only 0.1% excluding autos. Last month's sales data was the weakest report since January. (Reuters)
  2. Deutsche Bank is blaming Mrs. Kanye West for the disappointing second-quarter results from King Digital Entertainment PLC (NYSE:KING). In a research note titled "Kim Kardashian, the King Slayer," analyst Lloyd Walmsley wrote, "Competition within casual gaming is intense, with Kim Kardashian: Hollywood and 2048 going after the same demographics" as KING's primary offering, Candy Crush Saga. KING shares ended the day 23% lower. (The Wall Street Journal)
  3. A new record high for Tesla Motors Inc (NASDAQ:TSLA) generated some interest among options traders.
  4. Meanwhile, SeaWorld Entertainment Inc (NYSE:SEAS) spiraled to a record low after issuing lackluster guidance.
  5. Pre-earnings call buyers swallowed heavy losses as JDS Uniphase Corp (NASDAQ:JDSU) tumbled.
EARNINGS

For a look at today's options movers and commodities activity, head to page 2.

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