Bank stocks bucked the trend after the latest stress tests
The Dow Jones Industrial Average (DJIA) finished lower today, erasing yesterday's triple-digit gains. The tech sector resumed its recent sell-off, sending the S&P 500 Index (SPX) and the Nasdaq Composite (COMP) into the red as well, just a day after the duo enjoyed their best session in months. Among the only winners today were bank stocks, as traders cheered the latest round of Fed stress tests. Elsewhere, the CBOE Volatility Index (VIX) -- Wall Street's famed "fear gauge" -- posted its biggest daily gain since mid-May.
Continue reading for more on today's market, including:
- The Dow is about to do this for just the second time since 1964.
- These 2 bank stocks are a bargain.
- How options traders played Nike stock ahead of earnings.
- Plus, the FAANG stock flashing "buy"; the break-up heard 'round the pharmacy world; and 2 semiconductor stocks to dump.
he Dow Jones Industrial Average (DJIA - 21,287.03) dropped 167.6 points, or 0.8%. Only two of the 30 Dow stocks finished higher, with JPMorgan Chase and Goldman Sachs the lone advancers, gaining 1.5% and 0.5%, respectively. Cisco Systems brought up the rear, dropping 2.1%.
The S&P 500 Index (SPX - 2,419.70) shed 21 points, or 0.9%. The Nasdaq Composite (COMP - 6,144.35) lost 90 points, or 1.4%, for its first daily close beneath its 50-day moving average since April.
The CBOE Volatility Index (VIX - 11.44) added 1.4 points, or 14.1%. The VIX earlier peaked at 15.16 -- its highest point since mid-May.
5 Items on Our Radar Today:
- The U.S. gross domestic product (GDP) increased by 1.4% in the first quarter of 2017, as reported by the Commerce Department. While the reading was the worst since the second quarter of 2016, it beat previous estimates of 1.2% growth. (Reuters)
- The Trump Administration's budget is calling for $191 billion in cuts to food stamp benefits between 2018 and 2028, which could bring the average monthly food stamp benefit to $173 -- a 31% cut. If passed, supermarkets could lose tens of billions of dollars, according to some analysts calculations. (CNBC)
- As Prime Day looms, Amazon stock signal is flashing 'buy.'
- Rite Aid stock tanked after the firm was jilted by Walgreens Boots Alliance.
- Time to take profits on these 2 semiconductor stocks.
Data courtesy of Trade-Alert
Commodities
Oil continued its hot streak, finishing higher for the sixth straight session, as investors rode news of a decline in weekly crude production. August-dated crude futures rose 19 cents, or 0.4%, to finish at $44.93 per barrel.
Gold finished lower today amid rising global government bond yields, though a weaker dollar limited the yellow metal's decline. August-dated gold futures fell $3.30, or 0.3%, to close at $1,245.80 an ounce.