Dow Swings to Record High in Seesaw Session

Oil prices rallied to their highest close since July 2015

Katie Coburn
Nov 2, 2017 at 4:34 PM
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It was a wild ride on Wall Street today, as stocks reacted to Republican tax plans, earnings, and a big Fed announcement. The Dow Jones Industrial Average (DJIA) explored a range of more than 180 points on both sides of breakeven, but managed to erase losses brought on by the House's new tax code proposal, swinging to a record high after President Trump tapped Fed Governor Jerome Powell to replace Fed Chair Janet Yellen. Powell will provide the central bank with "strong, sound and steady leadership" if confirmed by the Senate, Trump said.

The S&P 500 Index (SPX), meanwhile, eked out a win, even as housing stocks tanked on tax reform details. The Nasdaq Composite (IXIC) wasn't as lucky, weighed down by poorly received earnings from Facebook (FB) and Tesla (TSLA). Now, stock traders are digesting the latest earnings from Apple (AAPL), and are awaiting tomorrow's monthly payrolls report.

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

  • What Trump's next 3 years could mean for stocks.
  • How Cree options bulls tripled their money in two days.
  • Citron Research is likely cheering this e-tailer's earnings.
  • Plus, two bank stocks that could be flashing buy; Oclaro stock's sell-off; and the online retail stock that could burn options bears.

The Dow Jones Industrial Average (DJIA - 23,516.26) touched a record high of 23,531.38, and ended with a gain of 81.3 points, or 0.4%. Boeing (BA) led the 18 Dow gainers with a 1.6% advance, while DowDuPont (DWDP) paced the 12 losers with a 1.7% drop.

The S&P 500 Index (SPX - 2,579.85) closed up 0.5 point, or 0.02%. The Nasdaq Composite (IXIC - 6,714.94) ended with a loss of 1.6 points, or 0.02%.
 
The CBOE Volatility Index (VIX - 9.93) lost 0.3 point, or 2.7%.

Closing Indexes Summary Nov 2
NYSE and Nasdaq Nov 2

5 Items on Our Radar Today

  1. In honor of Amazon's "National Hiring Day," Whole Foods announced it would hire 6,000 employees today, which is just a fraction of the 100,000 positions Amazon plans to fill by mid-2018. Whole Foods hired "on-the-spot" for various full- and part-time positions. (CNBC)
  2. Apple supplier Broadcom is moving its headquarters to the U.S. from Singapore, according to President Trump. The chipmaker stock has seen some notable options activity in light of Apple's recent iPhone X launch. (CNBC)
  3. 2 bank stocks signaling bigger short-term gains.
  4. Behind Oclaro stock's sell-off.
  5. Why JD stock bears might have reason to worry.


Corporate Earnings Chart Nov 2

Unusual Options Act Nov 2
Data courtesy of Trade-Alert

Commodities

Crude prices settled at their highest level since July 2015, on an upbeat market outlook fueled by the Organization of the Petroleum Exporting Countries' (OPEC) supply cuts. Saudi Arabia's energy minister said OPEC compliance has been "excellent." December-dated oil futures ended up 24 cents, or 0.4%, at $54.54 per barrel. 

Gold also ended higher today, as the dollar weakened following Powell's appointment. December-dated gold ended up 80 cents, or 0.1%, at $1,278.10 an ounce.


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