Dow Adds 165 Points; Nasdaq Suffers 4th Straight Loss

Wall Street continues to mostly consider inflation and rate-hike data

Feb 22, 2018 at 4:28 PM
facebook twitter linkedin

A dip in the 10-year Treasury yield helped bring stock buyers back to the market today, with the Dow spending most of the day deep in triple-digit-gain territory. In addition, breakup chatter from United Technologies (UTX) helped lift the blue-chip index. Traders continued to consider yesterday's Fed meeting minutes, as well as fresh rate-hike commentary from Fed President James Bullard. Elsewhere, investors digested weekly jobless claims that remained near a 45-year low and the latest round of corporate earnings reports. However, a late-session downturn in financial stocks pared most of the S&P's lead by the close, and the Nasdaq erased early gains on a bad day for biotech, ending a fourth straight day in the red.

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

  • 2 VIX extremes not seen since 2016
  • Options traders are bracing for a big earnings move from this oil stock tomorrow.
  • Inside a massively profitable call trade on Union Pacific.
  • Plus, a leisure stock call buyers love; the drug stock that soared today; and a silver lining in the Roku sell-off.

The Dow Jones Industrial Average (DJI - 24,962.48) added 164.7 points, or 0.7%, with 19 Dow components closer in the black. The biggest winner was UTX's 3.3% jump, and Cisco Systems (CSCO) paced the 10 losers with a 0.9% pullback. Johnson & Johnson (JNJ), meanwhile, closed flat.

The S&P 500 Index (SPX - 2,703.96) added 2.6 points, or 0.1%, and the Nasdaq Composite (IXIC - 7,210.09) fell 8.1 points or 0.1%.

The Cboe Volatility Index (VIX - 18.72) dipped 1.3 points, or 6.5%.

Closing Indexes Summary Feb 22

NYSE and Nasdaq Stats Feb 22

5 Items on Our Radar Today

  1. Elon Musk's SpaceX launched a rocket carrying two satellites into space that will join a constellation meant to provide internet service back on earth. The hope is that the satellites can provide high-speed internet to underserved areas. (USA Today)
  2. Millennial icon Kylie Jenner in a tweet today asked "does anyone else not open Snapchat anymore?" The tweet, along with the social media firm's first annual report as a publicly traded company, sent shares of Snap (SNAP) sliding 7.4%. The decline took more than $1 billion off Snap's market cap. (CNBC; Bloomberg)
  3. Call buyers are betting on an earnings breakout for leisure stock ILG.
  4. Why this drug stock was soaring today.
  5. How Roku stock may find post-earnings chart support after the sell-off.


Corporate Earnings Feb 22

Unusual Options Activity Feb 22

Data courtesy of Trade-Alert

Oil Gets a Surprise Boost

Oil prices got a lift today thanks to an unexpected decline in domestic crude inventories. April crude futures added $1.09, or 1.8%, to end at $62.77 per barrel.

Gold also ticked higher today as weakness in the dollar mounted, extending upside seen yesterday after the release of the Fed meeting minutes. By the close, April-dated gold was up 60 cents, or almost 0.1%, at $1,332.70 an ounce.


Now is the time to join our thriving community of Event Traders who consistently profit from every earnings season. With this discounted subscription opportunity, you'll stay ahead of the curve and seize opportunities others miss. Do not let Q3 earnings season pass you by – subscribe now and supercharge your portfolio with expert insights that turn market reactions into profit-generating opportunities!! Don't waste another second... join us right now before the next trade targeting +200% is released!