Dow Jones Industrial Average Adds 222 in Best Day Since March

The $7.4M Bet on Bank of America

Josh Selway

May 10, 2016 at 4:26 PM

The Dow Jones Industrial Average (DJIA) popped out of the gate and didn't look back, notching its best day since March 11. Stocks rallied with surging oil prices, after the Energy Information Administration (EIA) hiked its 2017 outlook for oil prices by almost 25%, and predicted a "drawdown in global oil inventories during the second half of 2017." Industrial and energy stocks led the S&P 500 Index (SPX), while Amazon.com, Inc. (NASDAQ:AMZN) paced the Nasdaq Composite (COMP) gains.

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

Is this Johnson & Johnson (NYSE:JNJ) unit destined to suffer the same fate as Valeant Pharmaceuticals Intl Inc (NYSE:VRX)?
Breaking down a $7.4M bearish bet on Bank of America Corp (NYSE:BAC).
Why Goldman Sachs called out "consistent mis-execution" from this plummeting solar stock.
Plus ... Congress contacts Zuckerberg, say goodbye to Budweiser, and Ackman's latest move.

The Dow Jones Industrial Average (DJIA - 17,928.35) jumped 222.4 points, or 1.3%, for its best session in roughly two months. Twenty-eight of the 30 Dow components closed higher, with Goldman Sachs Group Inc's (NYSE:GS) 2.5% pop leading the way. The losers were Pfizer Inc. (NYSE:PFE) and Wal-Mart Stores, Inc. (NYSE:WMT), falling 0.1% and 0.2%, respectively.

The S&P 500 Index (SPX - 2,084.39) closed with a gain of 25.7 points, or 1.3%. The Nasdaq Composite (COMP - 4,809.88) ended 59.7 points, or 1.3%, higher.

The CBOE Volatility Index (VIX - 13.63) dropped 0.9 point, or 6.5%, for its lowest close since April 22.

Indexes closing summary May 10
NYSE and NASDAQ stats May 10

5 Items on Our Radar Today:

The Senate Committee on Commerce, Science and Transportation has sent a letter to Facebook Inc (NASDAQ:FB) CEO Mark Zuckerberg, asking him to answer for recent allegations regarding the company's trending topics section. News site Gizmodo on Monday released a story saying Facebook's news team has blocked stories about conservative issues in the past. (Reuters)
Beer titan Anheuser Busch Inbev SA (ADR) (NYSE:BUD) is renaming its popular Budweiser brand "America" this summer. Cans featuring the new name will hit shelves on May 23. (USA Today)
The latest stock Bill Ackman is leaving behind.
Why are pre-earnings traders so high on this solar stock?
The front-office news that had FireEye Inc (NASDAQ:FEYE) options bulls piling on.

Quarterly Earnings May 10

Unusual Options Activity May 10
Data courtesy of Trade-Alert

Commodities:

The supply outages in Canada and Nigeria, as well as the EIA forecast for $50-per-barrel oil in 2017, helped June-dated crude oil futures add $1.22, or 2.8%, to end at $44.66 per barrel.

Gold dropped to its lowest perch in roughly two weeks today, amid gains in stocks and the U.S. dollar. Gold dated for June delivery gave back $1.80, or 0.1%, to close at $1,264.80 per ounce.

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