Oil prices rose for a fourth straight day
The Dow Jones Industrial Average (DJIA) closed higher for a fifth straight day, hitting fresh record highs in the process. However, the broader stock market struggled for gains, with the Nasdaq Composite (COMP) and S&P 500 Index (SPX) both retreating from yesterday's record closes -- though the latter index did manage another intraday peak early in the day. For the most part, investors considered this morning's stronger-than-expected update on inflation, which boosted expectations for a December rate hike. Meanwhile, oil prices rose once again, with crude futures taking a brief trek above the $50-per-barrel mark.
Continue reading for more on today's market, including:
- Time to buy calls on this pharma stock.
- Options bulls can't get enough of this surging biotech stock.
- How GrubHub short sellers could send the shares higher.
- Plus, bullish expectations for eBay; Morgan Stanley calls out a car rental stock; and an oil stock ready to bounce.
After notching an all-time intraday peak of 22,216.44, the Dow Jones Industrial Average (DJIA - 22,203.48) closed up 45.3 points, or 0.2% -- a record. Sixteen Dow stocks managed gains, the biggest of which came from United Technologies, which added 2.6%. Procter & Gamble and McDonald's both closed flat, and Travelers stock paced the 12 blue-chip losers by falling 1.3%.
The S&P 500 Index (SPX - 2,495.62) hit a record high of 2,498.43, but finished with a 2.8-point, or 0.1%, loss. The Nasdaq Composite (COMP - 6,429.08) fell 31.1 points, or 0.5%.
The CBOE Volatility Index (VIX - 10.44) closed lower for a fourth straight day, giving back 0.06 point, or 0.6%.
5 Items on Our Radar Today
- Former pharmaceutical executive Martin Shkreli has been ordered to jail while awaiting sentencing. A judge made the decision following a Facebook post in which the "pharma bro" offered $5,000 for a strand of Hillary Clinton's hair, saying it represented "a solicitation of assault in exchange for money." (Reuters)
- Tesla CEO Elon Musk teased the company's electric semi-truck on Twitter last night. Musk said the company is set to unveil the truck at an event next month. (USA Today)
- The brokerage firm predicting higher highs for eBay.
- Morgan Stanley: Investor expectations may be too high on this stock.
- Why this oil stock could be ready to bounce.
Data courtesy of Trade-Alert
Commodities
Oil prices extended their win streak to four, briefly toppling the closely watched $50-per-barrel level in intraday action. Crude set for October delivery ended the day 59 cents, or 1.2%, higher at $49.89 per barrel -- the loftiest settlement since July 31.
Gold ended a three-day losing streak, following today's inflation data. December-dated gold added $1.30, or 0.1%, to end at $1,329.30 per ounce.