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Dow Closes Wild Trading Week With Sharp Pivot Lower

The Dow traded in a 400-point range before ultimately closing in the red

Managing Editor
Dec 28, 2018 at 4:31 PM
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It was a whipsaw session for stocks today, reflecting the volatile price action seen throughout the week. After trading on both sides of breakeven and exploring a 400-point range throughout the day, the Dow ultimately turned lower in the final hour of trading. The S&P joined the Dow in the red, while the Nasdaq eked out its third straight win. All three benchmarks did, however, halt their weekly losing streaks at three. Elsewhere, Wall Street's "fear gauge," the Cboe Volatility Index, notched its third straight daily loss. 

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

  • Analyst: Buy this health insurer in a recession.
  • Workday stock just flashed a big bull signal.
  • Plus, a Shutterfly short squeeze looks imminent; Apple gets an ambitious bull note; and Wingstop stock soars.

The Dow Jones Industrial Average (DJI - 23,062.4) closed the day down 76.4 points, or 0.3%. Of the 30 Dow components, seven finished higher, led by a gain of 0.8% for Intel (INTC). Goldman Sachs (GS) paced the 23 decliners with a 1.4 % drop. For the week though, the Dow gained 2.7%. 

The S&P 500 Index (SPX - 2,485.74) lost 3.1 points, or 0.1%. The Nasdaq Composite (IXIC - 6,584.52) advanced 5 points, or 0.08%. The S&P finished the week up about 3%, while the Nasdaq added 3.9% for the week.

The Cboe Volatility Index (VIX - 28.34) ended the day lower, down 1.6 point, or 5.4%. It gave back 5.9% on the week.

closing indexes summary december 28

nyse and nasdaq stats december 28

5 Items on our Radar Today

  1. Pending home sales in the U.S. unexpectedly dropped in November, hinting at a softer housing market going into 2019. According to the National Association of Realtors (NAR), its index of contracts to buy previously owned homes fell 0.7% last month, defying estimates for a 0.7% rise. (Reuters)
  2. In a year characterized by icy trade relations, the U.S. and China took a small step forward after Beijing agreed to allow rice imports from the U.S. for the first time ever. Yesterday, a Chinese official confirmed the two global superpowers have agreed to meet face-to-face to discuss trade next month. (Reuters)
  3. Shutterfly stock is ripe for a short squeeze -- and soon.
  4. Analyst targets 80% upside for Apple stock
  5. An upgrade powered a big day for Wingstop stock.

There are no earnings to report.

unusual options activity december 28

Data courtesy of Trade-Alert

Oil, Gold End the Day Higher

Oil futures logged a solid gain today, after the Energy Information Administration (EIA)  reported a smaller-than-expected drop in inventories. February-dated crude futures finished up 72 cents, or 1.6%, at $45.33 per barrel. For the week though, black gold fell 0.6%, marking its third straight weekly loss.

Gold futures stayed hot, finishing higher for a fourth straight gain. Amidst ongoing volatility from U.S. equities and a softening dollar, demand for the safe-haven asset remains high. February-dated gold futures added $1.90, or 0.1%, to settle at $1,283 an ounce -- their highest finish in six months. For the week, gold added 1.8%. 


 

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