Dow, S&P, Nasdaq Close the Week at New Highs
Stocks continued to rise on rate-cut expectations
It was a strong finish to a record-setting week on Wall Street, with the Dow, S&P, and Nasdaq all settling at new all-time highs today. While traders continued to cheer possible support for a July rate cut in this week's congressional testimony from Fed Chair Jerome Powell, they also looked ahead to the start of second-quarter earnings season, which kicks off bright and early Monday morning with Citigroup's (C) results. Today's surge capped an impressive run for the major market indexes, which each logged impressive weekly gains.
Continue reading for more on today's market, including:
President Donald Trump's tweets brought out Facebook bears.2 bank stocks downgraded before earnings.Plus, a $4.3 million bearish Stitch Fix bet; time to take profits on this insurance stock; and 3 weed stocks that slumped.The Dow Jones Industrial Average (DJI - 27,332.03) closed near its record intraday high of 27,333.79, gaining 243.9 points, or 0.9%. Dow (DOW) led the 26 blue-chip advancers with its 4% jump, while Johnson & Johnson (JNJ) paced the four decliners with its 4.1% drop. Week-over-week, the Dow added 1.5%.
The S&P 500 Index (SPX - 3,013.77) hit an all-time intraday peak of 3,013.92, before settling with a 13.9-point, or 0.5%, win. The Nasdaq Composite (IXIC - 8,244.14) tagged a record intraday high of 8,245.66, and closed up 48.1 points, or 0.6%. On a weekly basis, the SPX and IXIC soared 0.8% and 1%, respectively.
The Cboe Volatility Index (VIX - 12.39) fell 0.5 point, or 4.2%. For the week, the market's "fear gauge" plunged 6.7%.
5 Items on our Radar Today
The U.S. Justice Department said it is investigating whether Johnson & Johnson (JNJ) lied about its knowledge of carcinogens in its talcum powder. There are currently thousands of talc-related lawsuits and a regulatory investigation facing the consumer products giant, which said in a statement its "Baby Powder does not contain asbestos or cause cancer, as supported by decades of independent clinical evidence." (Bloomberg)Brain-computer firm Neuralink said it would be hosting an event next Tuesday, July 16, to "share what [it's] been working on for the last two years," according to a tweet. The company was founded by Tesla (TSLA) CEO Elon Musk in July 2016, and he confirmed it publicly in 2017. (MarketWatch)Breaking down a $4.3 million bearish options trade on Stitch Fix.History says it's time to take profits on this insurance stock.3 weed stocks that slumped.There are no earnings to report.
Data courtesy of Trade-Alert
Oil, Gold Notch Weekly Gains
August-dated crude futures gained 1 cent today to close at $60.21 per barrel. Week-over-week, black gold surged 4.7%.
Lingering optimism around a potential Fed rate cut kept the wind at gold's back today. At the close, August-date gold futures were up $5.50, or 0.4%, at $1,412.20 an ounce. For the week, gold gained 0.9%.