Dow Jones Industrial Average Rides Boeing to New High; VIX Rewrites Record Book

The VIX ended below 10 for a record 10th session

Managing Editor
Jul 26, 2017 at 4:31 PM
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The Dow Jones Industrial Average (DJIA) touched a new record high, rallying on the wings of a strong post-earnings performance from Boeing stock. Stocks also stayed relatively steady after the Fed's unsurprising decision to leave interest rates unchanged, though the central bank did say it intends to wind down stimulus "relatively soon." Like the Dow, the Nasdaq Composite (COMP) and S&P 500 Index (SPX) also touched all-time highs, and both finished in the black for the day. Meanwhile, traders digested climbing oil prices, and the CBOE Volatility Index (VIX) -- Wall Street's "fear gauge" -- fall to a record low of 8.85.

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

  • Twitter stock is plagued by pessimism ahead of earnings. 
  • Volatility expectations are high ahead of 2 big Tesla events.
  • How Amazon sent this stock to record highs.
  • Plus, the chip stock headed for 10-year highs, 2 pharma stocks that soared, and which sector could move this week.  

The Dow Jones Industrial Average (DJIA - 21,711.01) added 97.6 points, or 0.5%, after reaching a new intraday high of 21,742.70. Of the 30 Dow stocks, 14 ended in positive territory, led by a hefty 9.9% gain for Boeing. Nike was the biggest loser, dipping 1.7%.

The S&P 500 Index (SPX - 2,477.83) gained 0.7 point, and reached a new intraday high of 2,481.69. The Nasdaq Composite (COMP - 6,422.75) added 10.6 points. It also set a new intraday high of 6,432.38.

The CBOE Volatility Index (VIX - 9.60) -- added 0.2 point, or 1.8%, but not before hitting a record intraday low of 8.84. VIX closed below 10 for the 10th straight session. 

Closing Indexes Summary July 26

NYSE and NASDAQ July 26

5 Items on Our Radar Today:

  1. President Trump declared through a series of tweets that transgender people will no longer be allowed to join the U.S. military. He claimed that supporting transgender Americans in the military would take the focus off of "overwhelming victory," and  "the tremendous medical costs and disruption" would be a burden. There were no further details released as to how current transgender personnel in the military would be treated. (Bloomberg)
  2. Along with well-received quarterly earnings, Coca-Cola announced it is replacing Coke Zero with an entirely new recipe. The product, Coca-Cola Zero Sugar, will hit shelves in the U.S. next month, though it has already been released in the Middle East, Africa, and Europe. (Reuters)
  3. Analysts expect this chip stock to hit 10-year highs.
  4. 2 pharma stocks that soared today.
  5. How the Fed meeting could move this sector.

Corporate Earnings Chart July 26
Unusual Options Activity July 26
Data courtesy of Trade-Alert

Commodities

Oil prices rose to a two-month high Wednesday, after the Energy Information Administration (EIA) said domestic crude supplies continued to fall last week. September-dated crude oil concluded with an 86-cent, or 1.8%, rise to $48.75 a barrel. 

Gold futures ended the regular session lower, with August-dated gold ending with a loss of $2.70, or 0.2%, at $1,249.40 an ounce. However, after the Fed announcement, gold futures have turned higher, last seen 0.7% higher at $1,267.40 an ounce.



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