UNH, Big Banks Send Dow to New Record High

Quarles said changes to the Volcker Rule are coming

by Karee Venema

Published on Jul 11, 2019 at 4:30 PM

The Dow made its first-ever trek above the 27,000 mark today, as insurer UnitedHeatlh (UNH) rallied on news the Trump administration was scrapping a plan to curb rebates for insurers. The blue-chip index settled north of the psychologically significant level, too, as big banks Goldman Sachs (GS) and JPMorgan (JPM) popped after Fed Vice Chair Randal Quarles said the central bank will introduce changes to the Volcker Rule later this year to ease regulation on financial institutions.

This helped send the S&P back above 3,000 in intraday trading, and while the index failed to close above this key level, it managed a third straight win. The Nasdaq, meanwhile, eased back from yesterday's record high to settle with a modest loss.

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

  • The catalyst that sent Bed Bath & Beyond to new lows.
  • This signal points to major upside for AMD stock.
  • The drug stock that surged 50%.
  • Plus, behind Roku options bulls' big win; history says to watch out for this retailer; and 2 stocks hit with bear notes.

The Dow Jones Industrial Average (DJI - 27,088.08) closed just shy of its intraday peak at 27,088.45, settling up 227.9 points, or 0.8%. UnitedHealth (UNH) paced the 22 advancers with its 5.5% pop, while Merck (MRK) led the eight decliners with its 4.5% slump.

The S&P 500 Index (SPX - 2,999.91) added 6.8 points, or 0.2%, to settle just below 3,000. The Nasdaq Composite (IXIC - 8,196.04) gave back 6.5 points, or 0.08%.

The Cboe Volatility Index (VIX - 12.93) edged down 0.1 point, or 0.8%.

Closing Indexes Summary July 11

NYSE and Nasdaq Stats July 11

5 Items on our Radar Today

  1. Ford Motor (F) and Volkswagen are expanding a partnership first announced in January with plans to invest "billions of dollars" into autonomous and electric vehicles by sharing intellectual property and hardware. The two auto giants have a press conference scheduled for tomorrow, July 12, in which they will "share details of new collaborations." (CNBC)
  2. Data from the Treasury Department showed the U.S. government racked up an $8 billion budget deficit in June -- more than analysts were expecting. While federal spending was down 12% year-over-year to $324 billion, the fiscal year deficit was up 23% at $747 billion. (Reuters)
  3. How Roku bulls won big with options.
  4. History says to watch out for this retail stock.
  5. 2 stocks hit with bear notes.

Corporate Earnings July 11

Unusual Options Activity July 11

Data courtesy of Trade-Alert

Oil Snaps Win Streak After OPEC Warning

Oil snapped its five-day winning streak, after the Organization of the Petroleum Exporting Countries (OPEC) cut its crude oil demand for 2020. August-dated crude settled down 23 cents, or 0.4%, at $60.20 per barrel.

Gold futures eased back from Wednesday's six-year-high settlement. After edging up in early trading, gold for August delivery closed $5.80, or 0.4%, lower at $1,406.70 an ounce.

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