Stocks Creep Higher Amid Earnings Flurry

P&G gains are offsetting post-earnings drops for Travelers and McDonald's

Managing Editor
Oct 22, 2019 at 11:57 AM
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The Dow Jones Industrial Average (DJI) is modestly higher at midday, as investors sift through the latest batch of corporate reports. So far, the blue-chip index is shrugging off lackluster earnings from Travelers (TRV) and McDonald's (MCD), and is instead propped up by post-earnings gains from Procter & Gamble (PG) and United Technologies (UTX). Boeing (BA) shares are also among the Dow leaders, rebounding after the firm completed a "dry run" of the grounded 737 MAX. However, while S&P 500 Index (SPX) is just above breakeven, the Nasdaq Composite (IXIC) is slightly lower. Elsewhere, oil prices are bouncing back, with December-dated crude futures up 1.8% at $54.25 per barrel.

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

  • 2 cloud stocks are up after bull notes today.
  • A C-suite shakeup has Under Armour stock higher.
  • Plus, Microsoft options bulls eye a big post-earnings move; BMY breaks out on upbeat cancer drug results; and streaming wars weighing on one FAANG stock.

Midday Market Stats Oct 22

One name seeing heightened options volume today is Microsoft Corporation (NASDAQ:MSFT), with more than 165,000 calls crossing the tape so far -- triple the average intraday amount, and almost five times the number of puts traded. The most active option by a wide stretch is the weekly 10/25 150-strike call, where new positions are being opened. The tech icon -- at last check trading at $138.73 -- reports earnings after the close tomorrow, Oct. 23, so call buyers are targeting big gains by the end of the week, when the options expire.  

Bristol-Myers Squibb Co (NYSE:BMY) is one of the better stocks on the SPX today, up 7.3% to trade at $56.09, after the drugmaker reported positive late-stage data for its lung cancer drug Opdivo. BMY earlier nabbed an annual high of $57.36, and is now up roughly 30% in the last three months, guided higher by its ascending 30-day moving average. 

MMC Daily Chart BMY

On the other end of the spectrum is Netflix Inc (NASDAQ:NFLX), down 3.7% to trade at $267.66. This comes after Verizon (VZ) announced it would give customers 12 months of the Walt Disney's (DIS) Disney+ streaming service for free. Competition concerns have recently weighed on the FAANG name, which is barely clinging to its year-to-date breakeven level after today.

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