Dow Jones Industrial Average Sells Off as Trump's Executive Order Rattles Stocks

How XIV Predicted Today's VIX Spike

Jan 30, 2017 at 12:03 PM
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The Dow Jones Industrial Average (DJIA) continues to slide, as President Donald Trump's immigration ban sinks stocks around the globe. Only three Dow stocks were trading above breakeven at last check, with the large-cap index dipping back below the 20,000 level. In fact, the Dow and S&P 500 Index (SPX) are on pace for their worst single-day performances since Oct. 11. Even with a number of high-profile corporate executives speaking out against Trump's controversial executive order, caution has set in, with the CBOE Volatility Index (VIX) surging at midday. 

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

  • How XIV predicted today's VIX pop.
  • Why Disney and AmEx are among the few Dow stocks moving higher at midday.
  • Plus, Sears continues to dive, Seagate rallies again, and Rite Aid's dismal day. 

Midday Market Stats Jan 30

Among the stocks with unusual options volume is retailer Sears Holdings Corp (NASDAQ:SHLD), as the shares continue to sink. Specifically, SHLD is down 13.2% at $6.44, earlier hitting a record low of $6.43. The stock is now down 42.5% since its Jan. 5 high of $11.19. While the February 11 and 12 puts are the most popular options overall today, calls are crossing at two times the average intraday rate. It looks like traders are buying to open the March 7 call, hoping for SHLD to rebound within the next two months. 

One stock gaining on the Nasdaq is data storage specialist Seagate Technology PLC (NASDAQ:STX). The shares are up 0.5% at $44.73, on pace for their fifth straight win, though they're still trading below last week's post-earnings high of $46.68. Helping the stock today is an upgrade to "outperform" at FBN Securities, which also raised its price target to $55 -- territory not seen since June 2015. 

Daily Chart of STX Jan 30

One of the worst performing stocks on the New York Stock Exchange is Rite Aid Corporation (NYSE:RAD), due to news Walgreens Boots Alliance (NASDAQ:WBA) will lower its buyout offer for the company. The stock is trading 15.6% lower at $5.85, and earlier touched a two-year low of $5.70. 

The CBOE Volatility Index (VIX) is up 1.8 point, or 16.5%, at 12.33. 

Today's put/call volume ratio on the SPDR S&P 500 ETF Trust (SPY) is 1.76, with puts nearly doubling calls. The SPY was last seen 2.2 points, or 0.9%, lower at $226.79. 

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