Real-Time Market Insights
Hot Stock News for Options Traders

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, Inc. (NASDAQ:AMZN) setting the pace for the outperforming tech sector.

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

Trading Topic of the Week -- Tips for Short-Term Trading: Make sure there aren't major volatility expectations priced in already. Use this simple tool to avoid overpaying for volatility, and keep your risk/reward profile out of "daredevil" territory.

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.



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.

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

Page 1Page 2

Partner Center

© 2015 Schaeffer's Investment Research, Inc. 5151 Pfeiffer Road, Suite 250, Cincinnati, Ohio 45242 Phone: (800) 448-2080 FAX: (513) 589-3810 Int'l Callers: (513) 589-3800 Email:

All Rights Reserved. Unauthorized reproduction of any SIR publication is strictly prohibited.

Market Data provided by | Data delayed 15-20 minutes unless otherwise indicated.