Unlike Tuesday, the DJIA rallied into the close, while the SPX clawed out of correction territory
After yesterday's late-day fake-out, Wall Street took today's early rally with a grain of salt. But alas, the bullish stars seemed to align, thanks to upbeat data on durable goods, fresh stimulus measures out of China, dovish comments from New York Fed President William Dudley, and a collective appetite for bargain-bin stocks. Against this backdrop, the Dow Jones Industrial Average (DJIA) skyrocketed to end back atop 16,000 -- adding more than 600 points for just the third time ever -- while the S&P 500 Index (SPX) bounced back from its worst six-day stretch since the financial crisis and out of correction territory.
Continue reading for more on today's market, including:
In a reversal of yesterday afternoon, the
Dow Jones Industrial Average (DJIA - 16,285.51) rallied into the close today, notching its best one-day percentage gain since November 2011. The blue-chip barometer was up more than 637 points at its session peak, ending with a healthy gain of 619.1 points, or 4%. Not one of the Dow's 30 blue chips closed lower, with Merck & Co., Inc. (NYSE:MRK) pacing the advance with a 6.4% surge.
The
S&P 500 Index (SPX - 1,940.51) also skyrocketed, tacking on 72.9 points, or 3.9%, to snap its six-day losing streak. The
Nasdaq Composite (COMP - 4,697.54) fared the best of the three, rallying 191.1 points, or 4.2%.
The
CBOE Volatility Index (VIX - 30.32), on the other hand, ended near a session low. The "fear gauge" gave up 5.7 points, or 15.8%, but found a foothold atop the round-number 30 area.
5 Items on Our Radar Today:
- New York Fed President William Dudley -- a voting member of the Federal Open Market Committee (FOMC) -- conceded that the events of the past few weeks make a September rate hike "less compelling." The central bank will kick off its annual Jackson Hole retreat tomorrow. (CNBC)
- Monsanto Company (NYSE:MON) has had its heart broken one too many times, it seems. The agricultural giant abandoned its $46 billion bid for Syngenta AG (ADR) (NYSE:SYT). While MON shares soared on the news, SYT plummeted. (MarketWatch)
- How one trader is betting on 20-year lows for RIG.
- Schaeffer's contributor Adam Warner weighed in on the biggest move ever for the 'VIX of the VIX.'
- Cameron International Corporation's (NYSE:CAM) big buyout. Will EMC Corporation (NYSE:EMC) be next?.
Commodities:
A bigger-than-expected rise in gasoline stockpiles weighed on crude. By the close, the October contract was down 71 cents, or 1.8%, at $38.60 per barrel -- a new 6.5-year low.
A rally in the equities markets diminished gold's "safe haven" appeal, with a strengthening dollar exacerbating selling pressure. December-dated gold finished $13.70, or 1.2%, lower to end at $1,124.60 an ounce -- the malleable metal's third straight loss.