Earnings Propel Dow Higher; 'Fear Gauge' Extends Slide

The Dow Jones Industrial Average (INDEXDJX:DJI) has added more than 300 points, while the CBOE Volatility Index (VIX) is on track for another drop

Oct 23, 2014 at 2:27 PM
facebook X logo linkedin


U.S. stocks shot higher out of the gate, thanks to some high-profile earnings beats. Among Dow Jones Industrial Average (INDEXDJX:DJI) components, Caterpillar Inc. (NYSE:CAT) and 3M Co (NYSE:MMM) are leading the pack, with the former flirting with triple-digit territory, and the latter notching a new record high of $147.92. Outside of blue chips, Tractor Supply Company (NASDAQ:TSCO) and Nokia Corporation (ADR) (NYSE:NOK) are among the stocks enjoying earnings-induced tailwinds. On the economic front, first-time filings for unemployment benefits rose roughly in line with expectations last week, marking the sixth straight week beneath the 300,000 level.

Against this backdrop, the Dow is up 303 points, or 1.8%, the S&P 500 Index (SPX) has added 34.8 points, or 1.8%, and the Nasdaq Composite (COMP) is flirting with a 92-point, or 2.1%, gain. For the week, the indexes are on pace for gains of 2.3%, 4%, and 5.1%, respectively.

Meanwhile, the CBOE Volatility Index (VIX) has dropped 2.1 points, or 11.5%, bringing its week-to-date loss to a steep 28.1%. Just last week, the market's "fear gauge" touched a two-year high of 31.06. Another 10% daily drop for the VIX would mark the index's fourth in five sessions.

On the New York Stock Exchange, 2,487 equities are trading higher, compared to just 561 in the red, resulting in an advance/decline ratio of 4.43. Likewise, 100 stocks have tagged new annual highs, compared to 29 hitting fresh lows. Brookfield Residential Properties Inc (NYSE:BRP) is the biggest gainer on the Big Board, up 22% thanks to a buyout bid from Brookfield Asset Management Inc. (USA) (NYSE:BAM).

It's a similar setup on the Nasdaq, with 1,987 stocks trading higher, compared to 546 in the red, resulting in an advance/decline ratio of 3.64. Forty-six securities have notched new highs, while 34 are trading in new-low territory. The biggest percentage gainer on the index is Infinera Corp. (NASDAQ:INFN), up 28% as analysts and shareholders applaud a stellar earnings report.

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI