Dow Nabs Longest Monthly Win Streak in 22 Years

The Dow and SPX closed the session at record highs

Nov 30, 2017 at 4:29 PM
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Bank stocks helped boost the Dow Jones Industrial Average (DJIA) to another big win today -- and past 24,000 -- after Republican Senator John McCain of Arizona signaled his support for the GOP tax plan. While Goldman Sachs (GS) was near the top of the Dow, big-cap oil stocks Chevron (CVX) and Exxon Mobil (XOM) weren't far behind, as energy shares got a lift on news the Organization of the Petroleum Exporting Countries (OPEC) and non-cartel members agreed to extend production cuts through 2018.

At the close, both the Dow and the S&P 500 Index (SPX) were sitting at records -- with the former notching its longest monthly win streak since 1995, and the latter nabbing its best monthly win streak in a decade. The Nasdaq Composite (IXIC) also bounced back from Wednesday's sharp tech selloff to notch its fifth straight monthly gain.

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

  • This stock alarm sounded around Black Monday and the dot-com drop.
  • 7 ways to trade bitcoin right now.
  • The healthcare stock that surged on a new partnership with Apple (AAPL).
  • Plus, the FAANG stock that could hit record highs by Christmas; an alternative strategy for shorts; and options traders won big on this retail stock.

The Dow Jones Industrial Average (DJIA - 24,272.35) hit a record high of 24,327.82, before settling up 331.7 points, or 1.4% -- its biggest one-day point change since November 2016. Boeing (BA) and United Technologies (UTX) led 24 Dow stocks higher with their 2.8% pops, while General Electric (GE) paced the six decliners with its 1% loss. The Dow notched an eighth straight monthly win, gaining 3.8% in November.

The S&P 500 Index (SPX - 2,647.58) topped out at an all-time peak of 2,657.74, and closed with a 21.5-point, or 0.8%, gain. The Nasdaq Composite (IXIC - 6,873.97) tacked on 49.6 points, or 0.7%. For the month, the SPX and IXIC climbed 2.9% and 2.2%, respectively.

The CBOE Volatility Index (VIX - 11.28) rose 0.6 point, or 5.4%, to close north of its 80-day moving average for the first time since Nov. 17. In November, the market's "fear gauge" jumped 10.8% -- its biggest monthly gain since October 2016.

Closing Indexes Summary Nov 30

NYSE and Nasdaq Nov 30

5 Items on Our Radar Today

  1. CVS Health (CVS) is reportedly nearing a deal to acquire Aetna (AET) for at least $200 per AET share. Rumors of the buyout first surfaced in late October, with the most recent speculation claiming an announcement could be made as soon as Monday, Dec. 3. (Bloomberg)
  2. The New York Times is reporting that the White House is considering replacing Secretary of State Rex Tillerson with CIA Director Mike Pompeo. The administration has yet to confirm Tillerson's potential ouster, though when asked earlier, President Donald Trump told reporters, "He's here. Rex is here." (CNN)
  3. This FAANG stock could hit record highs by Christmas.
  4. This options trading strategy provides an alternative for short sellers.
  5. A big November surge for this retail stock helped options bulls double their money.

Corporate Earnings Chart Nov 30

Unusual Options Activity Nov 30
Data courtesy of Trade-Alert

Commodities

Crude slated for January delivery added 10 cents, or 0.2.%, to close at $57.40 per barrel, following the supply cut extension among global oil producers. In November, oil prices jumped 5.6%

February-dated gold futures shed $9.50, or 0.7%, to settle at $1,276.70 an ounce, as surging stocks lessened the safe haven's appeal. For the month, gold gained 0.5%, comparing most-active contracts.

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