Dow Jones Industrial Average Sinks as Earnings Trump Oil

Buy the Dip On This Drink Stock

May 11, 2017 at 11:58 AM
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The Dow Jones Industrial Average (DJIA) was off more than 140 points at its session low, as a lackluster round of corporate earnings overshadows rising oil prices. Specifically, while June-dated crude futures have climbed 1.7% to trade at $48.15 per barrel, a sharp post-earnings loss for Snap stock is weighing on investor sentiment. Additionally, a negative earnings reaction for Macy's has put pressure on retail stocks, with Nike among the leading laggards on the Dow. The S&P 500 Index (SPX) and Nasdaq Composite (COMP) are retreating from yesterday's record closing highs, too, with the latter on track to break its five-day winning streak.

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

  • Why one analyst says there are "multiple ways to win" with WFM stock.
  • Time to buy the dip on this drink stock.
  • Plus, Nordstrom options pop ahead of earnings; Dillard's earnings disappoint; and Kohl's sinks.
  • Schaeffer's Top 5 Trading Education Topics, Day 4: Learn how to fine-tune your open option positions to optimize your trade payoff by Rolling Options Out, Up, and Down.

midday market stats may 11

Among the names with accelerated options activity is Nordstrom, with 30,000 contracts on the tape -- 13 times the expected intraday pace, with volume on track to settle in the 99th annual percentile. JWN shares are trading down with their fellow retail stocks, last seen 6.9% lower at $46.51 ahead of tonight's earnings report. Most active is the May 50 call, where it looks like one trader may be initiating a call ratio spread with the May 47.50 calls.

Dillard's is one of the leading laggards on the NYSE today, after the department store chain reported lower-than-expected earnings. DDS stock has surrendered 13.2% to trade at $50.26, but found a foothold earlier atop the round $50 mark.

dds stock daily chart may 11

Kohl's stock has erased earlier gains to trade down 6.4% at $37.73 -- one of the biggest decliners on the SPX -- after its quarterly sales came up short. KSS shares have now widened their year-to-date deficit to more than 23%.

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