Stocks Finish Lower as Treasury Yield Edges Near 3%
Merck's high-profile upgrade wasn't enough to put the Dow into positive territory
Stocks ended a wishy-washy day mostly lower, with the Dow suffering a fourth straight loss, despite a high-profile upgrade for Merck (MRK). Another down day for the tech sector weighed on stocks, and investors eyed the 10-year Treasury yield making its way to almost 3%. Traders also may have exercised caution to start one of the busiest weeks of earnings season, withCaterpillar (CAT) and Coca-Cola (KO) among the big names expected to report tomorrow.
Continue reading for more on today's market, including:
GE and Apple just flashed a rare 'Freaky Friday' signal for the Dow.A plummeting drug stock at risk for downgrades.Options traders expect another big Twitter earnings reaction.Plus, a pre-earnings look at TRV; the blue-chip to buy before earnings; and one aluminum giant's worst day in years.TheDow Jones Industrial Average (DJI - 24,448.69) fell 14.3 points, or 0.1%, for the day. MRK was the biggest of the 18 gainers, surging 2.4%, while Goldman Sachs (GS) was the biggest of the losers, falling 2.1%.
The S&P 500 Index (SPX - 2,670.29) managed a 0.2-point, or 0.01%, win, while the tech-heavy Nasdaq Composite (IXIC - 7,128.60) shed 17.5 points, or 0.3%.
The Cboe Volatility Index (VIX - 16.34) lost 0.5 point, or 3.2%, for the day.
5 Items on Our Radar Today
Parent company Gap announced that it will be adding more than 60 Old Navy stores around the U.S., increasing the overall count to 1,000 locations. Gap CEO Art Peck said, "We've moved to where the customer is," and explained that the retailer will be focusing on putting the new locations in freestanding buildings that are street level, versus in large malls. (CNBC)At least eight pedestrians were reportedly struck by a white van in Toronto, Canada, today. Reports said the police have detained the driver, though the motive is unknown. (Reuters)Travelers stock consolidated near a key chart area before earnings.Analyst: This blue chip is cheap ahead of earnings.Alcoa stock suffered its worst day since the company split.
Data courtesy of Trade-Alert
Oil Swings Higher; Gold Suffers Third Loss in a Row
Early losses did not last, even after Iran's oil minister said rising crude prices may cause the Organization of the Petroleum Exporting Countries (OPEC) to not extend its production cap. Giving oil prices a lift were escalating tensions in the Middle East, which fueled concerns about production. June-dated crude finished a volatile session up 24 cents, or 0.4%, at $68.64 per barrel.
As U.S. Treasury yields and the dollar rose, gold nearly touched a five-week low, and fell for a third straight session. June-dated futures finished down $14.30, or 1.1%, to settle at $1,324 per ounce.