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Dow Jones Industrial Average Rebounds With Oil

The Hospital Operator Spiraling to Record Lows

Oct 27, 2016 at 12:03 PM
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The Dow Jones Industrial Average (DJIA) fell into negative territory shortly after the open, but has since been attempting a rebound as oil prices rise. Specifically, December-dated crude futures have tacked on 1.1% to $49.71 per barrel, after sources said the Organization of the Petroleum Exporting Countries (OPEC) could reduce output by 4%. Meanwhile, stocks are reacting to a mixed bag of economic data, including an unexpected drop in durable goods orders, higher-than-expected weekly jobless claims, and an uptick in pending homes sales for September. Plus, earnings remain in the spotlight, with some of the biggest names still due to report after the close tonight.

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

Midday Market Stats October 27

Among the stocks with unusual options volume at midday is biotech issue Bristol-Myers Squibb Co (NYSE:BMY). A well-received earnings report, along with a boosted full-year outlook and fresh share repurchase program, has the shares up 6.7% to $52.57, and some call buyers appear to be betting on extended gains through week's end. BMY calls are trading at triple the expected intraday pace, and the weekly 10/28 series is dominating the action, representing eight of the 10 most active strikes. Leading the way is the 52-strike call, where buy-to-open action has been spotted.


Data storage specialist Western Digital Corp (NASDAQ:WDC) is among the top performers on the Nasdaq, up 7.3% at $60.63 after easily beating earnings expectations. The results earned WDC a round of bullish brokerage notes, and the stock is on pace to close in positive year-to-date territory for the first time since Jan. 4.

WDC Daily Chart Oct 27

Among the worst performers on the New York Stock Exchange so far today is mining stock Cliffs Natural Resources Inc (NYSE:CLF). A disappointing earnings report has CLF plunging 16% to $5.21, but long-term shareholders should still be pleased with the equity's 230% year-to-date lead, as well as its foothold atop a key level of technical support.

The CBOE Volatility Index (VIX) is up 0.4 point, or 2.7%.

Today's put/call volume ratio on the SPDR S&P 500 ETF Trust (SPY) is 1.33, with puts easily outnumbering calls. SPY was last seen off 0.4 point, or 0.2%, at $213.33.

Find out where the Dow lands right after the closing bell. Sign up now for Schaeffer's Market Recap

 

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