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Dow Sheds 255 on Weak Outing for Tech Stocks, Blue Chips

Negative news for Dow stocks Johnson & Johnson and Boeing sparked a sell-off for the index

Digital Content Manager
Oct 18, 2019 at 4:36 PM
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Stocks suffered a steep slump today, with tech stocks among the top laggards as Netflix (NFLX) reversed yesterday's post-earnings pop. Meanwhile, the Dow ended the week on a 255-point dip, dragged lower by the latest Boeing scandal. The 737 Max parent wasn't the only blue chip receiving backlash today, though; an asbestos recall for its baby powder sent Johnson & Johnson stock spiraling out of the gate. And on the global economic front, investors cast a wary eye on disappointing China GDP data, as Beijing posted its slowest quarterly growth in nearly 30 years.   

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

  • Why Credit Suisse downgraded 3 retail stocks ahead of the holidays. 
  • The pizza stock Guggenheim just named its "best idea" in the restaurant space. 
  • Plus, 2 pharma stocks making big moves today; SFIX soars; and a bull signal flashes for STX stock. 

The Dow Jones Industrial Average (DJI - 26,770.20) lost 255.7 points, or nearly 1% for the day, and 0.2% for the week. The 13 gainers were led by Coca-Cola (KO), which added 1.8% after earnings, while Boeing sunk to the bottom of the index on a 6.8% drop. Pfizer (PFE) finished flat.

The S&P 500 Index (SPX - 2,986.20) settled 11.8 points, or 0.4%, lower, but added 0.6% for the week. The Nasdaq Composite (IXIC - 8,089.54) closed down 67.3 points, or 0.8%, but managed a 0.5% weekly gain. 

The Cboe Volatility Index (VIX - 14.25) added 0.5 point, or 3.3%, but was down 8.5% for the week. 

Closing Indexes Summary Oct 18

NYSE and Nasdaq Stats Oct 18

5 Items on Our Radar Today

  1. Mark Hurd, the co-CEO of the software company Oracle (ORCL) and former CEO of Hewlett-Packard, died today at 62 years old, after taking a leave of absence from the company just one month earlier for unspecified health reasons. (CNBC)
  2. In Lebanon today, tens of thousands of people have stormed the streets in economic protest as the government attempts to shape its 2020 budget. Protesters are calling for Prime Minister Saad al-Hariri and members of his national unity government to resign amid a series of unpopular austerity measures. (Reuters)
  3. Why these 2 drug stocks are red-hot today. 
  4. The analyst bull note that helped StitchFix (SFIX) extend its rally. 
  5. Seagate stock could bounce before earnings, according to this bullish technical signal. 

Corporate Earnings Oct 18

Unusual Options Activity Oct 18

Data courtesy of Trade-Alert

Oil, Gold Fall Amid Economic Anxieties 

Oil prices suffered daily and weekly losses today amid economic growth anxieties, spurred by sluggish gross domestic product (GDP) data out of China. November-dated crude futures finished down $0.15, or 0.3%, to settle at $53.78 a barrel, with a 1.7% contraction for the week. 

Gold ended the day slightly lower, despite a softening dollar and shaky trade sentiment. Gold futures for December delivery lost $4.20, or 0.3%, to end at $1,494.10 per ounce, but clocked a weekly gain of 0.4%. 

 

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