EARN25

Tech Trounces Nasdaq; Dow Jones Industrial Average Dives

Tech Slaughters Nasdaq; Plus, 3 Stocks to Watch in the Zika Race

Feb 5, 2016 at 4:28 PM
facebook X logo linkedin


The Dow Jones Industrial Average (DJIA) fell steadily throughout the day, as Wall Street weighed the economic and rate-hike implications of January's jobs data. Traders also watched choppy price action in crude oil futures, on top of a round of weak earnings -- particularly out of the tech sector. In fact, the tech-rich Nasdaq Composite (COMP) suffered the most, marking its lowest settlement since October 2014.


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

The Dow Jones Industrial Average (DJIA - 16,204.83) lost 211.8 points, or 1.3%, with athletic retailer Nike Inc (NYSE:NKE) once again leading the laggards with a 5% slide.  Pharmaceutical concern Merck & Co, Inc. (NYSE:MRK) paced the nine advancing blue chips, gaining 1.6%. For the week, the DJIA dropped 1.6%.

The S&P 500 Index (SPX - 1,880.02) once again gave up the round 1,900 level, falling 35.4 points, or 1.9%, and posting a weekly loss of 3.1%. The Nasdaq Composite (COMP - 4,363.14) dropped 146.4 points, or 3.3%, on big losses in the tech sector, bringing its weekly loss to 5.5%.

The CBOE Volatility Index (VIX - 23.38) climbed 1.5 points, or 7.1%, as the market slumped, ending the week 15.7% higher.

160205recap1

160205recap2


5 Items on Our Radar Today:

  1. Today's nonfarm payrolls report showed 151,000 new jobs created in January -- notably lower than the 180,000 economists has predicted. Still, the overall unemployment rate fell to 4.9%, marking an eight-year low, and wage growth jumped 0.5%. Many expect this bright spot to increase chances of a rate hike from the Fed in the near future. (MarketWatch)

  2. A large construction crane collapsed during a snowstorm in Manhattan this morning, killing one and injuring at least three others. Officials do not yet know the cause of the accident, though strong winds are suspected, and an investigation is underway. (Reuters)

  3. Bad news from the FDA sent this biotech stock reeling.

  4. Why these 2 cybersecurity stocks got crushed.

  5. Option bears flocked to troubled Tesla Motors Inc (NASDAQ:TLSA).

160205recap3



160205recap4

  Data courtesy of Trade-Alert

Commodities:

As the dollar picked up steam, March crude oil finished with a loss of 83 cents, or 2.6%, at $30.89 a barrel, even as the number of active U.S. rigs dropped last week. For the week, crude fell 8.2%. Meanwhile, gasoline futures settled below $1 a gallon for the first time since 2008.

Despite growing expectations for a rate hike, as well as a strengthening dollar, April-dated gold eked out a gain of 20 cents to close at $1,157.70 an ounce. Gold climbed 3.7% over the course of the week -- the best week since August.

 

You Don’t Need 25 Alerts -- You Need ONE You Can Trust!

That’s the idea behind Trade of the Week, Schaeffer’s newest trade alert.

Every Monday morning before the opening bell, you’ll receive a single, expertly researched trade recommendation -- built from the same proprietary research we’ve been using for over four decades.

It’s not just a signal.

It’s a plan designed for traders who are tired of jumping from alert to alert without ever finding their edge.

No juggling alerts. No switching directions mid-week. Just one clear, expertly researched trade idea -- delivered before the market even opens.

👉 JOIN RIGHT NOW FOR JUST $1 TO GET THE NEXT TRADE!