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Dow Rebounds as Stocks Snap Losing Streak

Buyers moved back in after Monday's monumental sell-off

Aug 6, 2019 at 4:29 PM
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The Dow, S&P 500, and Nasdaq all snapped their recent losing streaks, bouncing back some after yesterday's beat-down. Traders took some solace in China stabilizing the yuan, while advisors for President Donald Trump also left the door open for progress on the trade front. The tech sector was one of the biggest winners from the risk-on session, though energy stocks largely sat out the gains, as oil prices fell once again.

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

The Dow Jones Industrial Average (DJI - 26,029.52) closed near session highs, adding 311.8 points, or 1.2%, to snap its five-day losing streak. Twenty-four of 30 Dow components closed in the green, and Nike (NKE) had the best day, up 3% at the close. Walgreen Boots Alliance (WBA) paced the losers with a 0.8% decline.

The S&P 500 Index (SPX - 2,881.77) picked up 37 points, or 1.3%, and the Nasdaq Composite (IXIC - 7,833.27) closed up 107.2 points, or 1.4%, with both indexes ending a six-day skid.

The Cboe Volatility Index (VIX - 20.17) finished down 4.4 points, or 18%.

closing indexes aug 6

NYSE and Nasdaq Aug 6

5 Items on our Radar Today

  1. Apple's (AAPL) credit card is now available to some consumers, with a full public launch expected later this month. Apple partnered with Goldman Sachs and Mastercard for the project, and the card will offer cashback rewards that can be used for Apple Cash. (CNET)
  2. Much has been made about the U.S.'s blocking of China's Huawei, but the tech company is also in the middle of a dispute with India. China allegedly warned that if India blocked Huawei's technologies, it would retaliate against Indian businesses in China. This comes as India takes bids on 5G technology installers. (Reuters)
  3. The ETF and ETN that have been incinerating investor capital, according to founder and CEO Bernie Schaeffer.
  4. Analyst says to buy the dip on this retailer.
  5. Why Accenture call options look attractive.

corporate earnings aug 6

Unusual Options Activity Aug 6

Data courtesy of Trade-Alert

Gold Gains Yet Again

Oil prices weren't able to gain alongside equities today, weighed down by the trade uncertainty. Crude scheduled for September delivery fell $1.06, or 1.9%, to $53.63 per barrel.

Gold was still in demand despite the return of stock buyers. December-dated gold was up $7.70, or 0.5%, to close at $1,484.20 an ounce -- marking a third straight win and another six-year high.

 

AI has exploded ever since ChatGPT set the world on fire near the end of 2022.

Numerous companies with connections to artificial intelligence have seen their stocks soar.

That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
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