Dow Jones Industrial Average Rallies on Fed's Dovish Rate-Hike Forecast

Key Levels Tesla Traders Are Targeting; Plus, 3 Gold Stocks to Watch

Mar 16, 2016 at 4:26 PM
facebook X logo linkedin

After a relatively quiet start to the day, the Dow Jones Industrial Average (DJIA) moved sharply higher following the conclusion of the Federal Open Market Committee (FOMC) meeting. The Fed opted to stand pat on interest rates, and the latest "dot plot" showed FOMC members are now targeting only two rate hikes this year -- down from four after the historic December meeting. The news sent stocks soaring in late trading, with the Dow up more than 127 points at its intraday peak.

Continue reading for more on today's market, including

The Dow Jones Industrial Average (DJIA - 17,325.76) added 74.2 points, or 0.4%, to close at a 2016 best. Caterpillar Inc. (NYSE:CAT) led the 22 advancing blue chips higher, gaining 2.6%, while Pfizer Inc. (NYSE:PFE) paced the eight laggards -- and marked day three at the bottom -- with a 1.7% loss.

The S&P 500 Index (SPX - 2,027.22) climbed 11.3 points, or 0.6%. The tech-heavy Nasdaq Composite (COMP - 4,763.97) finished 35.3 points, or 0.8%, higher. Like the Dow, the SPX finished at a year-to-date high close.

The CBOE Volatility Index (VIX - 14.99) slipped 1.9 points, or roughly 11%. The VIX notched its lowest daily close since Dec. 4.



5 Items on Our Radar Today:

  1. President Obama officially nominated Merrick Garland, chief judge of the U.S. Circuit Court of Appeals for the District of Columbia, for the vacant position on the Supreme Court. Senate Majority Leader Mitch McConnell says Congress will stand by its decision to not consider the nomination until after the next president is elected. (CNBC)

  2. Midwestern restaurant chain Pizza Ranch is the latest company to report a multi-state string of food-borne illness cases. The Centers for Disease Control and Prevention (CDC) has linked at least nine cases of E. coli to the restaurant, but says that the outbreak is already over. (CNBC)

  3. The latest drugmaker taking a beating from short seller Citron Research.

  4. Two retailers winning big in 2016.

  5. The $5 billion threat spooking Caesars Entertainment Corp (NASDAQ:CZR) traders.



Data courtesy of Trade-Alert


Crude oil moved higher throughout the day, and notched a sharp surge following the FOMC's afternoon announcement. Today's inventories report from the Energy Information Administration (EIA) showed U.S. stockpiles growing by half the expected level, while gasoline supplies fell. Crude futures for April delivery finished up $2.12, or 5.8%, at $38.46 a barrel.

April-dated gold futures closed the regular session down $1.20, or 0.1%, at $1,229.80 per ounce. However, a steep drop in the U.S. dollar in the wake of the Fed statement pushed gold futures comfortably higher in electronic trading.


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI