Stocks End Wild Trading Day Mixed
China will reportedly reduce its tariffs on U.S. autos
The wild ride continued for stocks, as the Dow, S&P 500, and Nasdaq all traded on both sides of breakeven throughout the day. Stocks jumped out to a big lead on encouraging China trade news, only to give those gains back later in the day, after President Donald Trump threatened a government shutdown while battling Senate Minority Leader Chuck Schumer and House Minority Leader Nancy Pelosi over border security. After exploring a range of more than 500 points, the Dow -- like the S&P -- ultimately settled with a modest loss, while the Nasdaq ended in the black.
Continue reading for more on today's market, including:
Goldman Sachs: Sell this biotech stock now.Options bulls are eyeing a short-term bounce for this struggling oil ETF2 healthcare stocks that made outsized moves.Plus, a stock signal not seen since 2008; a blue chip that could soar in 2019; and YUM stock looks tasty to options traders.
The Dow Jones Industrial Average (DJI - 24,370.24) ended down 53 points, or 0.2%. Of the 30 Dow components, 14 finished higher, led by a 1.4% gain from retail giant Nike (NKE). Travelers (TRV) paced the 16 losers with a 1.7% drop.
The S&P 500 Index (SPX -2,636.78) lost 0.9 point. Bucking the trend was the Nasdaq Composite (IXIC - 7,031.83), adding on 11.3 points, or 0.2%.
The Cboe Volatility Index (VIX - 21.76) ended the day down 0.9 point, or 3.9%.
5 Items on our Radar Today
Ride-sharing app Uber is gearing up for its initial public offering (IPO) for 2019. The company selected Morgan Stanley to lead the event, with Goldman Sachs also rumored to play a role. The IPO will be one of the biggest offerings of 2019, with a listing valuing the company at as much as $120 billion. (Bloomberg)In another blow to Brexit plans, German Chancellor Angela Merkel has ruled out any further negotiations between the European Union (EU) and British Prime Minister Theresa May. May abruptly pulled a parliamentary vote yesterday, but May said a vote will happen before Jan. 21 -- about two months before the March 29 Brexit. (Reuters)Stocks haven't done this since December 2008. Analyst: This blue-chip stock could soar 20%.There could be more upside in store for YUM stock.
Data courtesy of Trade-Alert
Oil Climbs, Gold Extends Pullback
Oil futures finished slightly higher today, thanks to a disruption in Libyan production. Gains were capped, though, after a downwardly revised 2018 and 2019 oil price forecast from the U.S. Energy Information Administration (EIA). January-dated crude futures added 65 cents, or 1.3%, to finish at $51.65 per barrel.
Gold futures pulled back again today as the dollar continued to gain steam. February-dated futures shed $2.20, or 0.2%, to settle at $1,247.20 per ounce.