Schaeffer's 43rd Anniversary Stock Picks in 2024

Dow Jones Industrial Average Pushes Pause Ahead of Payrolls

4 Stocks Ripe for a Zika Short Squeeze

Aug 4, 2016 at 4:23 PM
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The Dow Jones Industrial Average (DJIA) traded in a relatively narrow range, and finished modestly lower, as traders exercised caution ahead of tomorrow's key nonfarm payrolls report. This, despite global markets rallying on the Bank of England's (BoE) first rate cut since 2009, and a second straight day of big gains for crude oil. Stocks also reacted to a downbeat round of economic data and another raft of earnings reports.


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

The Dow Jones Industrial Average (DJIA - 18,352.05) dipped just 3 points after trading in a 73-point range. Visa Inc (NYSE:V) and Intel Corporation (NASDAQ:INTC) were the top performers among the 15 advancing Dow components, tacking on 1% apiece. Conversely, Walt Disney Co (NYSE:DIS) paced the 15 blue-chip losers, surrendering 1%.

The S&P 500 Index (SPX - 2,164.25) added a mere 0.5 point, but it was enough to secure a second straight daily win. The Nasdaq Composite (COMP - 5,166.25) also ended in the black, tacking on 6.5 points, or 0.1%.

The CBOE Volatility Index (VIX - 12.42) dropped 0.4 point, or 3.4%, giving up a short-lived foothold at its 10-day moving average.

Indexes Closing Summary August 4

NYSE and Nasdaq Volume August 4

5 Items on Our Radar Today:

  1. A trio of vaccines developed by the Walter Reed Army Institute and Harvard's Beth Israel Hospital were found effective in preventing the transmission of Zika virus in monkeys, according to a study published in the journal Science. The drugs are now being fast-tracked for human clinical trials, scheduled for October. (NBC News)
  2. LendingClub Corp (NYSE:LC) is reportedly in talks with Legg Mason Inc (NYSE:LM) subsidiary Western Asset Management to set up a fund to purchase up to $1.5 billion in loans. (Bloomberg)
  3. Bargain-hunting options traders may want to check out these 2 Olympic sponsors.
  4. What sent this fertilizer stock tumbling to a five-year low?
  5. Why Bill Ackman walked away from this investment.


Corporate Earnings August 4

Unusual Options Activity August 4
Data courtesy of
Trade-Alert

Commodities:

Crude oil rallied for a second straight day, after data showed that stockpiles at a key Oklahoma delivery hub fell last week. September-dated crude futures added $1.10, or 2.7%, to settle at $41.93 per barrel.

Gold prices edged higher on the BoE interest-rate cut. At day's end, December-dated gold was up $2.70, or 0.2%, at $1,367.40 per ounce.

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