Stocks Explode to Record Highs as Big Bank Earnings Impress

All three large-cap stock indexes are heading for huge weekly wins

by Josh Selway

Published on Jan 12, 2018 at 12:01 PM

The Dow Jones Industrial Average (DJI) is putting an exclamation point on its big week, with the index rallying over 200 points to fresh record highs. The S&P 500 Index (SPX) and Nasdaq Composite (IXIC) have surged to all-time peaks, too, despite weakness out of the tech sector, highlighted by Facebook (FB) stock's slide. Financial shares are picking up the slack, with Dow component JPMorgan Chase (JPM) at a new high after earnings, and shares of prominent retailers are also rising following December sales data. In fact, Target (TGT) is the top SPX stock today, earlier hitting a 52-week high.

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

  • Buy the Twitter stock rally, says one analyst.
  • 3 gold stocks popping on bull notes.
  • Plus, takeover chatter fuels bullish betting on FireEye; a surging Apple supplier; and, GameStop slumps.

stock market today

Among the stocks with unusual options volume is FireEye Inc (NASDAQ:FEYE), with Trade-Alert citing takeover speculation. More than 11,000 FEYE calls have traded so far, already surpassing the average daily volume of 6,872. Several near-term calls are popular -- and likely seeing buy-to-open activity -- but in the lead is the January 2018 15.50-strike call. As such, it appears options traders are expecting this rally from FEYE stock to continue.

One of the best stocks on the Nasdaq is touch-and-display specialist Synaptics, Incorporated (NASDAQ:SYNA), after KeyBanc upgraded the Apple supplier to "overweight" from "sector weight," and set a $60 price target -- the highest on Wall Street. Shares of SYNA have jumped 13.6% to trade at $49.89, gapping atop their 200-day moving average in the process.

syna

One retail stock sitting out the sector-wide rally today is GameStop Corp. (NYSE:GME), after the company issued a fourth-quarter sales and profit warning. GME stock has shed 10.8% to land on the short-sale restricted list, last seen trading at $17.81. This would end a six-session win streak for the security, as it topped out just below the 200-day moving average for the third time in the past year -- as more value is destroyed.

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