The DJIA has spent the whole session trading in negative territory after Buffett whacked IBM shares
The Dow Jones Industrial Average (DJIA) has spent the entire session trading in negative territory, pressured by a Warren Buffett-related drop for IBM stock. Stocks are also reacting to this morning's stronger-than-forecast jobs data -- which could strengthen the Fed's case for a June rate hike -- as well as bouncing oil prices, with June-dated crude futures last seen up 1.9% at $46.42 per barrel. And while the S&P 500 Index (SPX) and Nasdaq Composite (COMP) have explored both sides of breakeven, the moves have been modest ahead of this weekend's French presidential election. Nevertheless, the SPX and COMP are on track to close higher on the week, though the Dow could be at risk of a weekly loss.
Continue reading for more on today's market -- and don't miss:
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- Plus, ATVI's volatility crush; Monster stock pops; and earnings level Fluor.
Among the names with accelerated options activity is video game maker Activision Blizzard, Inc. (NASDAQ:ATVI), with 56,434 contracts traded -- 18 times what's typically seen, and volume on track to settle in the 100th annual percentile. ATVI stock is fresh off a post-earnings record high of $54.75 -- last seen up 0.8% at $53.52 -- and its 30-day at-the-money implied volatility has plunged 35.4%. The May 55 call is most active, where traders appear to be selling to close their positions.
Monster Beverage Corporation (NASDAQ:MNST) is one of the biggest gainers on the S&P 500 Index (SPX), with the shares up 4.5% at $48.00, and on track to close north of their 200-day moving average for the first time since late October. Although the beverage maker's first-quarter earnings fell short of estimates, Jefferies reiterated its upbeat "buy" rating and $63 price target on MNST stock -- in uncharted territory.
Fluor Corporation (NYSE:FLR) is the leading laggard on the SPX, after the construction company's reported a first-quarter earnings miss and slashed its full-year profit forecast. Adding to the bearish bias is a price-target cut to $55 from $58 at D.A. Davidson, with FLR stock last seen trading down 7.1% at $46.99.