Dow Rebounds on Energy Sector Gains

Recession fears had the DJI down triple digits earlier today

Deputy Editor
Aug 28, 2019 at 11:55 AM
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The Dow Jones Industrial Average (DJI) has bounced at midday, up 110 points as gains in the energy sector overshadow recession concerns following yet another yield-curve inversion. The boost for energy stocks comes amid a spike in oil prices, with October-dated crude futures up 2.2% at $56.11 per barrel, following a hefty decline in U.S. inventories. Against this backdrop, the S&P 500 Index (SPX) is in the black, though the Nasdaq Composite (IXIC) is lower on a batch of lackluster tech earnings.  

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

  • The airline stock poised to take off, according to one analyst. 
  • The software stock getting pummeled by post-earnings bear notes
  • Plus, options bulls are betting on a bounce for Macy's stock; MDJH stock soars; and Phibro Animal Health stock falls to the bottom of the Nasdaq. 

Midday Market Stats Aug 28

Retailer Macy's Inc (NYSE:M) is seeing an uptick in the options pits today, with 28,000 calls and 11,000 puts across the tape so far -- two times what's typically seen at this point. There's considerable amount of buy-to-open action surrounding the weekly 8/30 14.50-strike call, followed by the weekly 9/6 14.50-strike call. Macy's stock hit a nearly 10-year low of $14.20 earlier today, but has since rebounded 2.2% to trade at $14.61, thanks to retail-sector tailwinds.

China-based real estate issue MDJM Ltd (NASDAQ:MDJH) is one of the best stocks on the Nasdaq today, up 74% at $4.33, after the company signed a Primary Real Estate Agency Services Contract with Taida Xincheng Real Estate Co. The security hit a nearly seven-month high of $6.17 earlier today, and is pacing for its first close ever atop its newly formed 100-day moving average. 

MDJH Chart Aug 28

Veterinary pharmaceutical issue Phibro Animal Health Corp (NASDAQ:PAHC) is one of the worst performers on the Nasdaq, following fiscal fourth-quarter earnings that fell below analysts' estimates. The firm also issued lackluster fiscal-year guidance, due to the effects of African Swine Fever. The security is on pace for its biggest one-day drop ever, down 23.4% at $24.19, and hit a new three-year bottom of $22.05 earlier today. 

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