Yellen's relatively dovish remarks helped send the DJIA to an all-time peak
The Dow Jones Industrial Average (DJIA) traded in another triple-digit range today, but unlike yesterday, all of today's action was to the upside. In fact, the Dow closed at a record high, as stocks reacted favorably to Fed Chair Janet Yellen's congressional testimony. Traders also digested the Fed's Beige Book, which showed "slight to moderate" economic growth, though hiring stalled due to a lack of qualified workers. Nevertheless, rising energy shares lifted the S&P 500 Index (SPX), while another up day for tech stocks helped the Nasdaq Composite (COMP) log its fourth win in a row.
Continue reading for more on today's market, including:
- Options traders bet on higher highs for these 2 red-hot tech stocks.
- Buyout buzz sparked bullish betting on this Apple supplier.
- NVDA stock nabbed another win, thanks to an upbeat brokerage note.
- Plus, PayPal's big Apple boost; Amazon's impressive Prime Day results; and Snap call options were hot.
The Dow Jones Industrial Average (DJIA - 21,532.14) gained 123 points, and reached a new intraday high of 21,580.79. A whopping 29 of the 30 Dow stocks ended in positive territory, led by a 2.7% gain for DuPont. JPMorgan Chase was the sole loser, dipping 0.3%.
The S&P 500 Index (SPX - 2,443.25) tacked on 17.7 points, or 0.7%. The Nasdaq Composite (COMP - 6,261.17) added 67.9 points, or 1.1%.
The CBOE Volatility Index (VIX - 10.30) shed 0.6 point, or 5.4%.
5 Items on Our Radar Today:
- Google won a key legal battle today, after a court rejected claims it had used loopholes to avoid paying the full extent of its taxes in France. The penalty, which would have been $1.3 billion, was deemed unnecessary, as French administrative courts ruled that Google cannot be taxed for routing sales in France out of Ireland. (Bloomberg)
- U.S. mortgage activity fell 7.4% last week, its steepest drop since December. This came after interest rates on 30-year-fixed rate home loans rose to its highest level in two months. (Reuters)
- Apple sends PayPal stock into uncharted territory.
- Amazon's Prime Day set a new record.
- Options traders snapped up calls on Snap stock, which fell further below its IPO price.
Data courtesy of Trade-Alert
Commodities
Oil gained today for its third straight session, fueled by a larger-than-expected drop in U.S. crude stockpiles. August-dated crude futures rose 45 cents, or 1%, to settle at $45.49 per barrel.
Gold also gained for a third straight session, spurred by Yellen's reiterations about "gradual" rate hikes. August-dated gold futures rose $4.40, or 0.4%, to settle at $1,219.10 per ounce.