Major Benchmarks Gain Amid Economic Stimulus Commentary

Investors are unpacking comments by Federal Reserve Chairman Jerome Powell

Assistant Editor
Aug 27, 2021 at 12:17 PM
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The Dow Jones Industrial Average (DJI) is up 226 points at last check, while the S&P 500 Index (SPX) and Nasdaq Composite (IXIC) are firmly in the black as well, after both nabbing record intraday highs. For the week, all three major benchmarks are on track for solid gains. Investors are eyeing Federal Reserve Chairman Jerome Powell's comments at the Jackson Hole Symposium, which included his support of the central bank tapering off bond purchases this year, adding that interest rate hikes would not immediately succeed this tapering. The Fed chair also added that inflation was near the central bank's 2% target rate. Meanwhile, the U.S. consumer sentiment reading of 70.3 for August was below Wall Street's expectations of 71, and a decline from July's reading of 81.2.

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

  • Workday stock surges after a round of post-earnings bull notes
  • The computer name brushing off a strong quarterly report. 
  • Plus, options traders target HPQ after revenue miss; SPRT sees short squeeze; and SAVA continues to drop.

MMC 0827

Tech name HP Inc (NYSE:HPQ) is seeing a surge in options activity today, after the company posted a fiscal third-quarter revenue miss due to supply shortages. So far, 11,000 calls and 36,000 puts have crossed the tape, with overall volume running at six times what's typically seen at this point, and pacing for the top percentile of its annual range. The weekly 8/27 29-strike put is the most popular, followed by the September 28 put, with new positions being opened at the latter. Since HPQ's late-May bear gap, the $31 level has kept a lid on the shares. Today, the stock is down 3% to trade at $28.23, back below former support at the 200-day moving average. 

HPQ 0827

Support.com Inc (NASDAQ:SPRT) is soaring to record highs today, and one of the best performing stocks on the Nasdaq. The equity was last seen up 81.3% to trade at $35.38 at last check. On track for its seventh-straight day of gains, the stock is likely skyrocketing due to a short squeeze occurring, which is whipping up plenty of social media attention. SPRT was the top trending ticker on Stocktwits and Yahoo Finance this morning. Coming into today, short interest still represented 33.4% of SPRT's available float. 

Meanwhile, Cassava Sciences Inc (NASDAQ:SAVA) is one of the worst performers on the Nasdaq, plummeting due to another update on the ongoing allegations regarding its Alzheimer's drug. Cassava has released another statement, this time in regards to its plasma p-tau analysts from a formerly disclosed randomized study in Alzheimer's patients. The study was contracted with highly regarded, independent laboratory Quanterix. On track for its third-straight day of losses, SAVA is down 16.7% to trade at $59.33 at last glance. Year-over-year, the stock is still up an impressive 1,760.5%.

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