Schaeffer's Top Stock Picks for '25

Hawkish Fed Rattles Stocks

The release of Fed minutes unnerved investors in afternoon trading

Managing Editor
Oct 17, 2018 at 4:27 PM
facebook X logo linkedin


U.S. stocks closed lower today, as investors digested the newly released September Fed minutes -- temporarily pushing corporate earnings to the back burner. A majority of Fed officials now support a shift toward a more restrictive monetary policy, though central bankers differ over how long rates should remain high enough to constrain economic growth. In another day of volatile trading, the major equity indexes made a few forays onto positive ground, but were unable to find traction north of breakeven.

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

  • What happens when there's a  52-week low pileup?
  • 2 pharma stocks popping on analyst attention.
  • Fresh headwinds for Home Depot stock.
  • Plus, the healthcare stock hit by earnings; the catalyst behind Roku's rally; and oil slides below $70.

The Dow Jones Industrial Average (DJI - 25,706.68) gave up 91.7 points, or 0.4%, for the day. Eighteen Dow stocks closed in the black, with Goldman Sachs (GS) as the top performer, finishing up about 3%. Meanwhile, IBM (IBM) paced the 12 losers with a 7.6% post-earnings drop.

The S&P 500 Index (SPX - 2,809.21) shed 0.7 point, or 0.03%, while the Nasdaq Composite (IXIC - 7,642.70) lost 2.8 points, or 0.04%, for the day.

The Cboe Volatility Index (VIX - 17.40) today let go of 0.2 point, or 1.3%.

Closing Indexes Summary Oct 17

NYSE and Nasdaq stats oct 17

5 Items on our Radar Today

  1. Today, Canada became the second country, and first industrialized country, to legalize the recreational use of marijuana. Prime Minister Justin Trudeau had promised the recreational legalization during his campaign. (CNBC)
  2. Anonymous sources told Reuters that Amazon (AMZN) is targeting Queretaro  state in Mexico for its fourth distribution center in the country. The as-yet-unconfirmed plans reportedly involve the construction of a 1-million square foot warehouse. (Reuters)
  3.  Healthcare stock suffers post-earnings blow.
  4.  Roku rally sparked by Mexico ban reversal.  
  5.  Nucor stock looks to break earnings slump.

Corporate Earnings Oct 17

Unusual Options Activity October 17

Data courtesy of Trade-Alert

Oil Breaks Below $70 as Supplies Surge

Oil futures suffered after the weekly increase in U.S. stockpiles more than tripled analyst estimates at 6.5 million barrels. November-dated crude shed $2.17, or 3%, to settle at $69.75 per barrel. 

Gold futures closed lower as the U.S. dollar firmed, with December-dated gold settling down $3.60, or 0.3%, at $1,227.40 an ounce. The precious metal extended its decline in electronic trading after the release of the Fed meeting minutes.
 
 

You have the chance to join one of Bernie's most exclusive programs, complete access at HUGE savings!

As we prepare for a new administration to take the reins in Washington, the near-term market landscape is rife with uncertainty.

The Federal Reserve has already hinted at the turbulence ahead, lowering its interest rate outlook for 2025.

Meanwhile, breakthroughs in artificial intelligence (AI), quantum computing, and other transformative sectors have unlocked incredible profit potential.

But these opportunities are fleeting, and timing is everything. That's where Quick-Hit Trader comes in.

Quick-Hit Trader is designed for precision and speed, getting you in and out of the market in a flash. While other investors scramble to navigate volatile conditions, you'll have access to expertly curated trades that leverage these rapid shifts to deliver explosive profits in short order.

This is your chance to capitalize on the fast-moving market like never before. Are you ready to make your move?