Dow Jones Industrial Average Down 99 Points; S&P Back in Correction

2 High-Flying Energy Stocks

by Karee Venema

Published on Feb 24, 2016 at 12:10 PM

It's a dismal day on Wall Street, with oil prices continuing to drive the direction of the stock market. In fact, despite a brief bounce following the Energy Information Administration's (EIA) report that showed a smaller-than-expected rise in crude inventories, April-dated crude futures have dropped 0.4% to $31.74 per barrel.

Traders are also digesting the latest Fed chatter, as well as a round of disappointing economic data. Specifically, Markit's flash services index fell below the 50 mark -- indicating contraction -- to a 28-month low, while January new home sales dropped by more than expected. Against this backdrop, the Dow Jones Industrial Average (DJIA) is down nearly triple digits, while the S&P 500 Index (SPX) has slipped back into correction territory.

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


160224mmc

Among the stocks with unusual call volume is Barrick Gold Corporation (USA) (NYSE:ABX), with the contracts crossing at seven times the average intraday pace. The gold stock is continuing yesterday's analyst-induced rally -- up 5.5% at $14.29 -- thanks to a rebound in gold, and after TD Securities boosted its price target to $15.50 from $14.50. In the options pits, the security's January 2017 series is hot, with nearly 59,000 contracts collectively traded at the 20-, 22-, and 25-strike calls.

Hertz Global Holdings Inc (NYSE:HTZ) is one of the leading laggards on the New York Stock Exchange (NYSE), down 16.4% at $7.22. A disappointing outlook for Avis Budget Group Inc. (NASDAQ:CAR) is having a ripple effect throughout the sector, and, as a result, HTZ has lost a short-term foothold atop its 10-day moving average.

160224htz

Chemical concern -- and Dupont (NYSE:DD) spinoff -- Chemours Co (NYSE:CC), meanwhile, is one of the biggest advancers on the NYSE, up 20.3% to $4.87. After reporting a big fourth-quarter loss, the company said it expects to finish its strategic review this summer (subscription required) -- and lower costs by roughly $500 million by the end of 2017.

The CBOE Volatility Index (VIX) is up 0.6 point, or 3%, at 21.61. 

Today's put/call volume ratio on the SPDR S&P 500 ETF Trust (SPY) is 2.06, with puts more than doubling calls. SPY is down 0.5% at $191.32.

A Schaeffer's exclusive!

The Expert's Guide

Access your FREE trading earning announcements before it's too late!


  
 

Partnercenter


NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories


Research Exposes Shortcut to Stock Market Wins
A simple way to stop picking losers, and start cashing in like Wall Street's elite.
Cannabis Stock Rally Cut Short after Downgrade
Aurora Cannabis did receive a price-target hike from Jefferies, though
Vaccines, China Trigger Roller Coaster Week for Stocks
Moderna's vaccine captured the attention of Wall Street
Research Exposes Shortcut to Stock Market Wins
A simple way to stop picking losers, and start cashing in like Wall Street's elite.