Data, Oil Drive Dow Jones Industrial Average to Record Highs

The 6-Figure Bet On a Big Gold Bounce

Dec 5, 2016 at 4:24 PM
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The Dow Jones Industrial Average (DJIA) cooled some after surging more than 100 points early on -- but the blue-chip index hung on for the win, hitting record highs in the process. Tech and bank stocks led the way, while rising oil prices also provided a lift -- and crude futures posted their best close in over a year. On top of upbeat data from the services sector, traders also digested a hawkish speech from New York Fed President William Dudley -- though a rate hike from the Federal Reserve next week is already "likely baked into the market," as was this weekend's constitutional referendum vote in Italy.

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

The Dow Jones Industrial Average (DJIA - 19,216.24) closed up 45.8 points, or 0.2%. Fifteen of the Dow's 30 stocks closed higher, led by Nike Inc's (NYSE:NKE) 2.8% jump. The biggest loser was UnitedHealth Group Inc (NYSE:UNH), sliding 1.9%. 

The S&P 500 Index (SPX - 2,204.71) rose 12.8 points, or 0.6%, while the Nasdaq Composite (COMP - 5,308.89) gained 53.2 points, or 1%. 

The CBOE Volatility Index (VIX - 12.14) shed 2 points, or 14%, for its lowest close since Sept. 22. 

Indexes closing summary December 5
NYSE and Nasdaq stats December 5

5 Items on Our Radar Today

  1. Amazon.com, Inc. (NASDAQ:AMZN) stock closed higher -- and sent bargain-hunting options buyers into a tizzy -- after the company opened its first physical grocery store in Seattle. The store, called Amazon Go, uses sensors to allow customers to simply grab items off the shelves and leave, without checking out. The customer's Amazon account will be charged for each item they do not put back. (Reuters)
  2. President-elect Donald Trump has chosen Ben Carson as his secretary for the Department of Housing and Urban Development. Carson ran against Trump in the Republican primary, and this will be his first government position. (The New York Times)
  3. The nostalgic news that boosted Urban Outfitters, Inc. (NASDAQ:URBN). 
  4. Who's calling Alphabet Inc (NASDAQ:GOOGL) "an impressive growth company." 
  5. How "relentlessly negative sentiment" could create post-earnings tailwinds for this retail stock.

Quarterly earnings December 5

Unusual options activity December 5
Data courtesy of Trade-Alert

Commodities:

Crude managed yet another win, with oil securing its best close since July 2015. Specifically, January-dated oil prices gained 11 cents, or 0.2%, to settle at $51.79 per barrel. 

Gold futures, on the other hand, moved lower, amid signs of a December rate hike from the Federal Reserve. Gold dated for February delivery ended the session $1.30, or 0.1%, lower at $1,176.50 per ounce. 

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