Dow Jones Industrial Average Sinks Amid Energy, Apple Sell-Off

3 Drugmakers to Watch Tomorrow

Oct 26, 2015 at 4:21 PM
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The Dow Jones Industrial Average (DJIA) spent almost the entire session in negative territory, pressured by pre-earnings concerns surrounding blue chip Apple Inc. (NASDAQ:AAPL). Lackluster housing data didn't do the bulls any favors, and energy also weighed on sentiment as crude oil churned lower, offsetting an exciting day on the M&A front. Meanwhile, the Federal Open Market Committee (FOMC) policy-setting meeting is set to kick off tomorrow, with Wall Street on the lookout for rate-hike clues.

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

The Dow Jones Industrial Average (DJIA - 17,623.05) only briefly explored positive territory, and ended on a loss of 23.7 points, or 0.1%. Leading the 16 blue-chip winners was Microsoft Corporation (NASDAQ:MSFT), which popped 2.6% on a new joint venture. On the other hand, AAPL paced the 13 Dow losers, sliding 3.3%, and Boeing Co (NYSE:BA) was flat.

The S&P 500 Index (SPX - 2,071.18) spent the entire session in the red, ultimately slipping 4 points, or 0.2%. The Nasdaq Composite (COMP - 5,034.70) broke from the pack, adding 2.8 points, or 0.06%, battling back from an early morning drop.

The CBOE Volatility Index (VIX - 15.29) tacked on 0.8 point, or 5.7%, but settled a third straight session below its 10-day moving average.

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5 Items on Our Radar Today:

  1. U.S. new home sales dropped 11.5% last month to an annualized rate of 468,000 units, the Commerce Department said. It was the slowest pace since November 2014. (Reuters)
  2. Shares of Pep Boys-Manny Moe and Jack (NYSE:PBY) soared over 23% and hit a three-year high, after the automotive retailer agreed to be bought for $835 million, or $15 per cash in cash, by Bridgestone Americas Inc. (USA Today)
  3. TASR broke out of its funk, thanks to a partnership with this tech blue chip.
  4. Why the future looks far from bright for Groupon Inc (NASDAQ:GRPN).
  5. Goldman Sachs added this recent spin-off to a prestigious list, fueling a sharp rally.

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Commodities:

Worries of oversupply due to unseasonably warm weather, as well as a warning about long-term price risks from Goldman Sachs, kept crude prices inching lower. The December contract settled at $43.98 per barrel, a loss of 62 cents, or 1.4%. This marks the lowest close for oil since Aug. 10. 

Meanwhile, December-dated gold rose $3.40, or 0.3%, to close at $1,166.20 an ounce. The dollar's ascent was on hold today, as uncertainty persists ahead of this week's Fed policy meeting, and gold also moved higher on lackluster housing data.

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