Dow Jones Industrial Average Recovers On Boeing, Data

3 Charts Pointing to Rising Pre-Election Fear

Oct 26, 2016 at 4:32 PM
facebook twitter linkedin

After plunging more than 100 points at the open on a negative earnings reaction for tech stock Apple Inc. (NASDAQ:AAPL), the Dow Jones Industrial Average (DJIA) spent the remainder of the session clawing its way north. Despite crude oil's continued sell-off, the Dow won the day, thanks to relatively upbeat economic data and a strong post-earnings performance for Boeing Co (NYSE:BA). Nevertheless, AAPL's loss was too much for the S&P 500 Index (SPX) and Nasdaq Composite (COMP), which both settled the session in the red.

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

The Dow Jones Industrial Average (DJIA - 18,199.33) managed a win of 30.1 points, or 0.2%. BA led the 16 Dow winners, tacking on 4.7%, while the 14 decliners were paced by AAPL's 2.3% drop.

The S&P 500 Index (SPX – 2,139.43) dropped 3.7 points, or 0.2%, while the Nasdaq Composite (COMP – 5,250.27) lost 33.1 points, or 0.6%.

The CBOE Volatility Index (VIX – 14.24) rose 0.8 point, or 5.8%.

Closing indexes summary October 26
NYSE and Nasdaq Stats October 26

5 Items on Our Radar Today

  1. In a move that could stall future sales for Apple, some Chinese iPhone owners are choosing to give their old phones a new look, instead of opting to upgrade. Rather than shelling out cash for a replacement, many consumers are replacing their phone back plates, installing headphone jack plugs, and purchasing other accessories to make their old iPhones look like the newest iteration. (Reuters)
  2. Pharmaceutical company Kaleo will be bringing its EpiPen competitor, Auvi-Q, back to the market after removing it due to manufacturing issues last year. Although offering no details for its pricing structure, Kaleo insists that out-of-pocket costs for Auvi-Q patients will be low. Rival Mylan NV (NASDAQ:MYL) came under pressure earlier this year for price gouging its EpiPen. (Forbes)
  3. The semiconductor stock that's more than doubled this year -- and, much to skeptics' dismay, could have room to run.
  4. Analysts were quick to change their tune on Edwards Lifesciences Corp (NYSE:EW), which got stomped after earnings.
  5. What sent cloud concern Akamai Technologies Inc. (NASDAQ:AKAM) to its highest perch of the year.

Corporate Earnings October 26
Unusual Options Activity October 26

Data courtesy of Trade-Alert


December-dated crude futures dropped 78 cents, or 1.6%, to $49.18 per barrel, as anxiety over the Organization of the Petroleum Exporting Countries' (OPEC) proposed output cut overshadowed a surprise drop in domestic crude inventories. 

Gold for December delivery slipped $7, or 0.6%, to end the day at $1,266.60 per ounce, as traders turned their attention to next week's Federal Open Market Committee (FOMC) policy-setting meeting.

Stay on top of overnight news & big morning movers. Sign up now for Schaeffer's Opening View.

If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!

Schaeffer's Investment Research Master Portfolio Trial


Special Offers from Schaeffer's Trading Partners