Dow Jones Industrial Average, S&P Dodge Fourth Straight Loss

3 Signs 'Trump Optimism' Has Peaked

Mar 9, 2017 at 4:25 PM
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The Dow Jones Industrial Average (DJIA) and S&P 500 Index (SPX) spent most of the day lower, as crude oil prices tanked for a second consecutive session. Meanwhile, traders reacted to the European Central Bank's (ECB) decision to stand pat on interest rates, even as the chances of a Fed rate hike next week grow. However, stocks caught an eleventh-hour tailwind ahead of tomorrow's highly anticipated nonfarm payrolls report, with the Dow and SPX both dodging a fourth straight loss.

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

  • 3 signs "Trump Optimism" has peaked.
  • Time to buy options on these 3 Dow stocks.
  • Our subscribers doubled their money on this aerospace options trade.
  • Plus, a key Netflix trendline; one hard-hit retail stock; and iPhone 8 at risk.

The Dow Jones Industrial Average (DJIA 20,858.19) inched just 2.5 points higher, even though 21 of 30 components gained ground. The biggest advancer was Johnson & Johnson, adding 1.5%. Leading the nine decliners was Caterpillar stock, down 2%.

The S&P 500 Index (SPX - 2,364.87) tacked on 1.9 points, or almost 0.1%. It was a photo finish for the Nasdaq Composite (COMP - 5,838.81), which ultimately rose 1.3 points.

The CBOE Volatility Index (VIX - 12.30) jumped 0.4 point, or 3.7%, for its highest settlement since March 1.

closing indexes summary march 9
NYSE and Nasdaq stats March 9

5 Items on Our Radar Today

  1. For the second time in two years, RadioShack is filing for bankruptcy. In addition, the electronics retailer will shutter nearly 200 more stores. (CNNMoney)
  2. For the eighth time in 11 years, Alphabet was named Fortune's best company to work for. There were also five first-timers on the list, including Delta Air Lines. (USA Today)
  3. A key trendline could send Netflix stock to record highs, if past is prologue.
  4. The retail stock that sank 32%.
  5. The Apple supplier jeopardizing the iPhone 8 launch.

corporate earnings march 9

unusual options activity march 9
Data courtesy of Trade-Alert

Commodities

Oil prices fell to their lowest settlement price since November, as yesterday's U.S. crude inventories report called into question the effectiveness of global production cut efforts. April-dated crude futures lost $1, or 2%, to finish at $49.28 per barrel, breaching the psychologically significant $50 level.

Gold suffered an eighth straight loss and hit a five-week intraday low below the $1,200 mark, pressured by increasing March rate-hike expectations. By day's end, April-dated gold had given up $6.20, or 0.5%, to close at $1,203.20 per ounce.

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