Fed Chair Jerome Powell implied interest rate cuts are on the table
The Dow bounced back in a big way today, after Fed Chair Jerome Powell said the Fed will "act as appropriate" to support economic growth, alluding to a possible interest rate cut. Encouraging trade comments from China's Commerce Ministry also helped renew optimism. Elsewhere, lawmakers in Washington are reportedly toying with the idea of potentially stopping President Donald Trump's new tariffs on Mexican goods, slated to go into effect next week. As such, and with help from a rebounding tech sector, all three stock market benchmarks enjoyed their best single-session gains since Jan. 4.
Continue reading for more on today's market, including:
- These 2 gambling stocks could go bust, if history is any guide.
- Analyst: Time to jump on this FAANG stock.
- Mattel stock got a big boost from Hello Kitty.
- Plus, fresh Snapchat bulls; a warning on CVS; and a penny stock that could quadruple.
The Dow Jones Industrial Average (DJI - 25,332.18) added 512.4 points, or 2.1%, in today's trading. Nike (NKE) led the 29 winners with a 4.7% gain, while Verizon (VZ) was the only loser with a 0.3% drop.
The S&P 500 Index (SPX - 2,803.27) gained 58.8 points, or 2.1%, while the Nasdaq Composite (IXIC - 7,527.12) soared 194.1 points, or 2.7%.
The Cboe Volatility Index (VIX - 16.97) fell 1.9 point, or 10%, today.
5 Items on our Radar Today
- Toyota Motor executives are already fretting about the impact of President Trump's tariffs on Mexican imports. In an email obtained by Reuters, the company told U.S. dealers that it expects the tariffs to cost major suppliers between $215 million and $1.07 billion. (Reuters)
- Over in Britain, President Trump, during a news conference with British Prime Minister Theresa May, promised a "phenomenal" trade deal between the U.S. and U.K. Further, Trump said the two countries could as much as triple the current level of trade. (Bloomberg)
- Snap stock's latest surge drew a fresh batch of options bulls.
- Signal says CVS stock has limited upside.
- Analyst: This penny stock could quadruple.
Data courtesy of Trade-Alert
Oil Snaps Four-Day Skid; Gold Stays Red-Hot
Black gold gained today, snapping a four-day losing streak. July-dated oil futures added 23 cents, or 0.4%, to end at $53.48 per barrel, rallying with stocks after the dovish comments from Fed Chair Powell.
Gold logged its fifth straight win today, buoyed by support of a possible interest rate cut. August-delivered gold rose 80 cents, or 0.1%, to settle at $1,328.70 an ounce, marking the yellow metal's longest winning streak since late January.