Jobs Data, Fed Fuel Big Gains for Stocks Today

Palladium prices hit a record high

Jan 4, 2019 at 4:33 PM
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It was a busy day on Wall Street, as traders digested a blowout jobs report, confirmation of next week's U.S.-China trade talks, and a relatively dovish tone from Fed Chair Jerome Powell. And thanks in part to a big rally for newly upgraded Intel (INTC), the Dow surged 746 points. The rally was broad-based, with the S&P 500 Index and Nasdaq jumping more than 3% and 4%, respectively. The strong gains helped all three indexes bring their weekly win streaks to two, and close at their highest points since Dec. 18.

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

The Dow Jones Industrial Average (DJI - 23,433.16) was up 832 points at its intraday peak, before settling with a 746.9-point, or 3.3%, gain. All 30 Dow components closed higher, led by Intel's 6.1% surge, while Verizon (VZ) brought up the rear with its 0.2% gain. For the week, the Dow jumped 1.6%.

The S&P 500 Index (SPX - 2,531.94) tacked on 84 points, or 3.4%, bringing its weekly gain to 1.8%. The Nasdaq Composite (IXIC - 6,738.86) rose 275.4 points, or 4.3%, on the day, and 2.3% on the week.

The Cboe Volatility Index (VIX - 21.38) fell 4.1 points, or 16%. Week-over-week, the market's "fear gauge" slumped 24.6%.

Closing Indexes Summary Jan 4

NYSE and Nasdaq Jan 4

5 Items on our Radar Today

  1. Ford Motor (F) said it is recalling 782,000 U.S. vehicles as part of the largest U.S. car recall on record to replace defective Takata airbags. More broadly, the automaker will recall 953,000 North American vehicles. Wall Street shook off the news -- as well as price-target cuts from Barclays (to $9) and UBS (to $11) -- with Ford stock gaining 3.9% today to close at $8.08. (MarketWatch)
  2. President Donald Trump met with Democratic leaders today, but failed to reach an agreement to end the 14-day partial government shutdown. While Trump called the meeting "very productive" and said he may call a "national emergency" to build a wall along the U.S.-Mexico border, Senate Minority Leader Chuck Schumer said Trump threatened to extend the shutdown "for a very long period of time" if a bill doesn't include funding for a border wall. (CNBC)
  3. These 2 healthcare stocks popped on fresh "buy" ratings.
  4. Horizon Pharma stock just flashed a reliable bull signal.
  5. Goldman Sachs added this FAANG stock to its "conviction buy" list.

Corporate Earnings Jan 4

Unusual Options Activity Jan 4

Data courtesy of Trade-Alert

Oil Snaps Weekly Losing Streak

Oil gained ground today as a strong jobs number and optimism surrounding U.S.-China trade negotiations boosted investor confidence. February-dated crude gained 87 cents, or 1.9%, to settle at $47.96 per barrel. Black gold added 5.8% for the week, marking its first weekly gain since Dec. 7.

Gold for February delivery fell $9, or 0.7%, to close at $1,285.80 an ounce, as traders scooped up riskier assets. Gold prices gained for a third straight week, though, adding 0.2%. Elsewhere, palladium prices hit a record high, with the March contract settling at $1,234.40 an ounce.

 

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