Schaeffer's 43rd Anniversary Stock Picks in 2024

Deal-Making Drives Dow Jones Industrial Average Higher

Why Big VIX Moves are Unreliable Indicators

Nov 2, 2015 at 11:52 AM
facebook X logo linkedin


The Dow Jones Industrial Average (DJIA) dipped in the first minutes of trading -- weighed down by Visa Inc (NYSE:V) -- but quickly bounced back with a vengeance. A flood of M&A headlines are helping the major market indexes extend October's upward momentum, with traders encouraged by the strength of the collective corporate pocketbook. Against this backdrop -- and with healthcare leading the charge -- the Dow and its peers are comfortably higher, shrugging off a two-year low in the Institute for Supply Management's (ISM) manufacturing index.

Continue reading for more on today's market -- and don't miss:

 


151102MMC

Among the stocks with notable option activity is Endurance International Group Holdings Inc (NASDAQ:EIGI), which is down 21.1% at $10.55, and just off an all-time low of $10.29. Traders are panning the company's lackluster revenue guidance, as well as its bid for online marketing concern Constant Contact Inc (NASDAQ:CTCT). At last check, EIGI puts are trading at 43 times the average intraday pace, and have outnumbered calls by a margin of nearly 10-to-1.

One of the Nasdaq's top performers is biotech Dyax Corp. (NASDAQ:DYAX), which is up 30.8% at $35.99, and just tagged a near 14-year high of $36.68. Bolstering the stock is a $37.30-per-share buyout bid from Shire PLC (ADR) (NASDAQ:SHPG).

Among the leading losers on the Nasdaq is real estate operator Green Brick Partners Inc (NASDAQ:GRBK), which has plummeted 22% to $8.23, after the David Einhorn-led company cut its 2015 forecast. Furthermore, Credit Suisse trimmed its price target to $10 from $13. The stock is on pace for its worst session in nearly two years, and is poised to settle in single-digit territory for the first time since mid-June. 

151102MMC_GRBK


The
CBOE Volatility Index (VIX) is down 0.5 point, or 3.4%, at 14.56.

Today's put/call volume ratio on the SPDR S&P 500 ETF Trust (SPY) is 1.33, with puts having the edge over calls. At last check, SPY was 1.5 points, or 0.7%, higher at $209.40.


CHART



CHART

CHART
CHART
 

Nvidia and its powerful chips are the face of artificial intelligence.

But while everyone’s patting Nvidia on the back for record earnings…

It’s quietly moved on to the next phase of AI it plans to conquer…

Nvidia recently unveiled essential blueprints for this crucial $1 trillion pivot.

Click here now and find out about the three companies Nvidia absolutely needs to succeed in this vital new AI frontier. (ad)
schaeffer's opening view daily market newsletter

                                                                                                   
๐Ÿš€ Try Options Under $5 Trade Alerts 
Target +150% Profit w/RT Entry&Exit

                                                                                                    

 
 

                                                                                                   
This stock is paying its highest dividend
in 15 years . . . ๐Ÿ“ˆ (c/o Investors Alley)

                                                                                                    

 


                                                                                                   
Top 10 Investment Picks Poised For
Major Upside Before 2025 ๐Ÿ’ฐ
 (FREE)

                                                                                                    

 

join schaeffer's market recap daily stock marketnewsletter

 

                                               ad                                                  
Some of Nvidia’s partners have already
surged as much as 4,744%. This is next …

                                                ad