Traders digested the Trump administration's tax reform proposal, too
It was a roller-coaster session for the Dow Jones Industrial Average (DJIA), with the index ultimately surging higher in afternoon trade to snap a four-day losing streak. Stocks responded to the release of the Trump administration's tax plan, which calls for a 20% corporate tax rate. The financial sector also continued to rally, helping the Dow overcome Nike's post-earnings pullback and guiding the S&P 500 Index (SPX) and Nasdaq Composite (COMP) higher. It was the Russell 2000 Index (RUT) that had the best day, however, as a surge in small-cap stocks pushed the index to an all-time high, marking its best session since March.
Continue reading for more on today's market, including:
- Analyst: This FAANG stock will rally 28%.
- The artificial intelligence news that had this penny stock surging.
- Why it's time to roll the dice on casino stocks.
- Plus, a stock getting Amazon tailwinds; bears move in on one solar stock; and an ETF to watch in the fourth quarter.
The Dow Jones Industrial Average (DJIA - 22,340.71) explored both sides of breakeven, but eventually settled up 56.4 points, or 0.3%. Sixteen of 30 Dow stocks closed higher, led by United Technologies' 2.1% rise. Verizon closed flat, while General Electric had the worst day, losing 2.2%.
The S&P 500 Index (SPX - 2,507.04) jumped 10.2 points, or 0.4%, hitting a record high of 2,511.75 in the process. The Nasdaq Composite (COMP - 6,453.26) closed up 73.1 points, or 1.2%.
The CBOE Volatility Index (VIX -9.87) fell below 10 again, givnig up 0.3 point, or 3%.
5 Items on Our Radar Today
- Talking with reporters today, President Trump said he isn't happy with Health and Human Services Secretary Tom Price, under fire for his use of taxpayer-funded private jets When asked if he'll fire Price, Trump said he's looking "very closely" at the possibility. (Bloomberg)
- According to Reuters, music streaming service Spotify is now being valued at roughly $16 billion. This is a $3 billion increase since June, and Spotify is projected to boast a more than $20 billion market cap when the company finally goes public. (Reuters)
- The software stock surging on Amazon tailwinds.
- One solar stock in analysts' bearish crosshairs.
- An ETF that could surge in the fourth quarter.
Data courtesy of Trade-Alert
Commodities
Oil prices ticked higher today, thanks to news that domestic crude inventories surprisingly fell during the past week. November-dated crude futures added 26 cents, or 0.5%, to settle at $52.14 per barrel.
Gold edged lower today as stocks and the dollar gained. Gold set for December delivery finished down $13.90, or 1.1%, to end at $1,287.80 per ounce.