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Dow Erases Early Losses, Shakes Off Geopolitical Drama

Gold has risen sharply as the U.S. dollar sinks

Managing Editor
Aug 29, 2017 at 12:08 PM
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The Dow Jones Industrial Average (DJIA) dropped by over 100 points out of the gate, but has since erased its losses to trade cautiously higher. Traders are seemingly shaking off early concerns about renewed geopolitical drama with North Korea, after the rogue nation's missile test over Japan -- which prompted President Trump to warn that "all options are on the table." Traders are also keeping a close eye on Tropical Storm Harvey's continued rampage on the Gulf, which has October-dated crude oil futures down 1.3% at $45.95 per barrel. And despite consumer confidence hitting a five-month high in August, demand for safe-haven assets and the sinking dollar has December-dated gold futures up 0.6% at $1,322.60 an ounce.

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

  • North Korea fears are lifting this gold stock.
  • Buy puts on these 2 retail stocks, if past is prologue.
  • Plus, AKAM option volume pops; a surging biotech stock; and Freeport-McMoRan's big deal.

Midday Market Stats Aug 29


Among the stocks with unusual options volume is tech company Akamai Technologies, Inc. (NASDAQ:AKAM), with over 9,000 calls traded -- 15 times the average intraday pace, and on track to finish in the 99th percentile of its annual range. The weekly 9/1 46-strike call is attracting the most attention, with over 3,000 contracts traded today. AKAM stock is currently up 0.5% to trade at $45.35, with Trade-Alert attributing today's influx of calls to renewed takeover chatter.


ImmunoGen, Inc. (NASDAQ:IMGN) is up 18.4% at $7.65, at the top of the Nasdaq today, after the drugmaker announced a development deal with Jazz Pharmaceuticals. IMGN stock is within a chip-shot of its July 6 annual high of $8.04, and has skyrocketed 273% in 2017, with pullbacks supported by its 80-day moving average.

IMGN stock chart


Freeport-McMoRan Inc (NYSE:FCX) is among the worst stocks on the New York Stock Exchange, down 5% to trade at $14.73. The stock is sinking after the mining company reached an agreement with the Indonesian government over the Grasberg mine, of which it was forced to divest 51% of its stake. Still, FCX stock is up roughly 34% since its June lows in the $11 region, and touched a six-month high just last week.
 

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