Dow Jones Industrial Average Muscles Higher After Yellen

The Dow Jones Industrial Average (DJIA) spent most of the day cautiously higher, as stocks reacted to preliminary gross domestic product (GDP) data and more hawkish Fed speak. Fed Chair Janet Yellen all but confirmed the probability of a rate hike this summer, echoing recent comments from many of her central bank peers. By the close, the Dow ended at a session high, and finally snapped its worst weekly losing streak in nearly two years. 

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

• The $1.4 million Microsoft Corporation (NASDAQ:MSFT) gamble one short-term trader is willing to take.
• Why this analyst thinks there's underlying value in Valeant Pharmaceuticals Intl Inc's (NYSE:VRX) assets, "despite recent controversies."
• 3 gold ETFs that went haywire after Yellen -- and one gold bug that bet big.
  
• Plus ... Yellen talks rate hikes, 12 million U.S. cars recalled, and the beauty brand analysts are loving

The Dow Jones Industrial Average (DJIA - 17,873.22) ended the day up 44.9 points, or 0.3%. Verizon Communications Inc. (NYSE:VZ) finished the day up 0.9%, and led the 23 Dow winners, while McDonald's Corporation (NYSE:MCD) finished last of the Dow components, down 0.4%. For the week, the Dow gained 2.1%.

The S&P 500 Index (SPX – 2,099.06) finished up 9 points, or 0.4%. The Nasdaq Composite (COMP –4,933.51) also managed gains, finishing up 0.7%, or 31.7 points. For the week, the SPX and COMP advanced 2.2% and 3.4%, respectively.

The CBOE Volatility Index (VIX – 13.12) dropped for the fourth day in a row, to finish down 0.3 point, or 2.3%. For the week, the VIX gave up 13.7%.

5 Items on Our Radar Today:

1. Fed Chair Janet Yellen took questions at Harvard this afternoon, during which she confirmed that an interest rate hike would be "appropriate ... in the coming months," assuming that the economy continues to improve. Yellen also commented that rate hikes should be implemented "gradually and cautiously." (CNBC)

2. Recalls were issued by eight automakers for over 12 million U.S. vehicles built between 2002 and 2011, as a result of faulty airbags made by Japanese manufacturer Takata Corp. At least 13 deaths have been linked to airbag inflator explosions caused by the defect. (Reuters) 

3. Ten analysts upped their expectations for Ulta Salon, Cosmetics & Fragrance, Inc. (NASDAQ:ULTA).

4. Are UGGs finally out? Deckers Outdoor Corp (NYSE:DECK) bulls are afraid they might be.

5. Investors are betting on steeper post-earnings losses for GameStop Corp (NYSE:GME).

Data courtesy of Trade-Alert

Commodities:

July-dated crude futures fell 0.3%, or 15 cents, to $49.33 per barrel, despite another weekly decline in the Baker Hughes active-rigs count. A looming meeting of the Organization of the Petroleum Exporting Countries (OPEC) next week also kept black gold from making any major moves. For the week, however, oil added 1.9%.

June-dated gold dropped for its eighth straight session to a three-month low, finishing down $6.60, or 0.5%, at $1,213.80 an ounce. A stronger dollar coupled with rate-hike fears fueled the precious metal's decline. For the week, gold dropped 3.1% -- the biggest weekly loss of 2016.