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Dow Finishes Lower Ahead of Yellen, Draghi Speeches

Hurricane Harvey is taking a toll on expectations for oil demand

Aug 24, 2017 at 4:34 PM
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The Dow Jones Industrial Average (DJIA) ended lower after a battle with breakeven today, as traders exercised caution amid a highly anticipated central bank summit in Jackson Hole, Wyoming, which will culminate in speeches from Fed Chair Janet Yellen and European Central Bank President Mario Draghi tomorrow. Investors also digested a drop to 2017 lows for existing-home sales in July, echoing yesterday's new home sales shocker, and even a round of well-received retail earnings couldn't keep the major stock indexes afloat.

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

  • The best time to buy stocks after this S&P signal.
  • The worst stock on the NYSE today.
  • How options traders are playing housing sector weakness.
  • Plus, the drug stock price target cut in half; bullish bets on a global stock rally; and 2 retail stocks shocking bears.

The Dow Jones Industrial Average (DJIA - 21,783.40) lost 28.7 points, or 0.1%, though 15 of its 30 stocks managed to end higher. Cisco Systems (CSCO) led the advancers, gaining 1%, while Wal-Mart paced the 15 losers with a 2% loss.

The S&P 500 Index (SPX - 2,438.97) lost 5.1 points, or 0.2%. The tech-heavy Nasdaq Composite (COMP - 6,271.33) also took a loss, letting go 7.1 points, or 0.1%. 

The CBOE Volatility Index (VIX - 12.23) ended lower after two days of gains, losing 0.02 point, or 0.2%.

Closing Indexes Summary August 24

NYSE & Nasdaq August 24

5 Items on Our Radar Today

  1. A continuation in Amazon's Whole Foods buyout news, the online retailer announced that everything should be finalized Monday, and customers should see immediate discounts. Amazon stated there will be "lower prices on a selection of best-selling staples across [Whole Foods] stores." (CNBC)
  2. A woman came forward this morning as the whopping $758.7 million Powerball winner. The woman, Mavis Wanczyk of Massachusetts, said the first thing she did was quit her job of 32 years. “I called them and told them I will not be coming back,” she stated. (MarketWatch)
  3. Why analysts nearly halved their price target on this drug stock.
  4. The global stock ETF seeing bullish options bets.
  5. 2 retail stocks shocking bears.

Corporate Earnings August 24

Unusual Options Activity August 24
Data courtesy of Trade-Alert

Commodities

Hurricane Harvey caused oil prices to fall, as traders anticipate weaker demand. October-dated crude ended 2%, or 98 cents, lower, settling at $47.43 per barrel.

Gold also suffered a loss Thursday, ending lower after the dollar gained ground and ahead of speeches from several central bank heads tomorrow. December-dated gold settled at $1,292 per ounce, down $2.70, or 0.2%.
 

AI has exploded ever since ChatGPT set the world on fire near the end of 2022.

Numerous companies with connections to artificial intelligence have seen their stocks soar.

That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
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