Stocks Give Up Midday Gains as Selloff Continues to Grip Wall Street

The Nasdaq logged its lowest settlement since May 19

Digital Content Manager
Jan 27, 2022 at 4:29 PM
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Markets saw another dizzying pullback during the second half of Thursday's session, walking back on what was promising to be the Dow's best single-day session since mid-December. Instead, the blue-chip index finished the day with a paltry 7-point drop. Meanwhile, the S&P 500 and the Nasdaq closed in the red, with the latter notching its lowest settlement since May 19. The Cboe Volatility Index (VIX) -- Wall Street's fear gauge -- also settled lower today, snapping a six-day win streak. 

Investors continued to mull over yesterday's remarks from the Federal Reserve, which pointed to an interest rate hike as soon as this March. Meanwhile, today's fourth-quarter gross domestic product (GDP) jump ultimately did little to assuage markets. The GDP reading rose 6.9% since last year, topping economists' estimates.

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

  • What sunk Intel stock after its quarterly report. 
  • Another Dow member that took a post-earnings beating
  • Plus, a look at Affirm stock's 2022 selloff; the mining stock investors should hold off on; and why Netflix stock bounced.

The Dow Jones Average (DJI - 34,160.78) shed 7.3 points, or 0.02% for the day. Dow Inc (DOW) led the gainers today, adding 5.2%, and Intel (INTC) paced the laggards with a 7% drop. 

The S&P 500 Index (SPX - 4,326.51) moved 23.4 points lower, or 0.5%, while the Nasdaq Composite (IXIC - 13,352.78) lost 189.3 points, or 1.4%, for today's session. 

Lastly, the CBOE Volatility Index (VIX - 30.59) shed 1.4 points, or 4.3% for the day.

Closing Indexes Summary Jan 27

NYSE and Nasdaq Stats Jan 27

  1. According to a New York Times tracker, cases of Covid-19 are down 21% from two weeks ago, while hospitalizations are averaging at 150,000 compared to 160,000 a week ago. (MarketWatch)
  2. One options trader is taking advantage of Apple (AAPL) stock's high implied volatility ahead of this evening's earnings event by selling almost 20,000 contracts of the weekly 1/28 150-, 145-, and 140-strike puts. This implies the trader is betting on the $140 level holding as a floor for the underlying shares by the time these contracts expire tomorrow. (CNBC)
  3. Is this struggling e-payment stock worth the risk after a near 50% selloff?
  4. Why investors shouldn't dig into this mining stock just yet. 
  5. Billionaire investor buys the dip on Netflix stock. 

Corporate Earnings Jan 27

Unusual Options Activity Jan 27

Oil, Gold Fall Lower

Oil cooled from yesterday's multi-year highs as traders continued to monitor the Russia-Ukraine conflict. March-dated oil lost 74 cents, or nearly 0.9%, to settle at $86.61 per barrel.

The Federal Reserve's hints that a rate hike might be on the way helped strengthen the U.S. dollar, and in turn weakened gold prices even further. Data showing the U.S. economy expanded 6.9% in the fourth-quarter also weighed on the precious metal. February-dated gold dropped $36.60, or 2%, to close at $1,793.10 per ounce, marking its first settlement below the $1,800 mark since Jan. 10. 


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