Another rate hike in 2017 is "likely to be warranted"
Despite a bit of a rocky start, the Dow Jones Industrial Average (DJIA), S&P 500 Index (SPX), and Nasdaq Composite (IXIC) all closed modestly higher today, after minutes from the Federal Open Market Committee (FOMC) September meeting reaffirmed expectations for a December interest rate hike. Although "many participants expressed concern" about low inflation, several think another rate hike in 2017 is "likely to be warranted." As a result, the Dow notched another record high.
Continue reading for more on today's market, including:
- 25 stocks for short-term option bulls.
- The sale buzz that helped Kroger stock surge.
- 2 stocks that took a hit after earnings.
- Plus, how traders are playing JPMorgan stock ahead of earnings; why one analyst expects record highs for PayPal; and the worst Dow stock of 2017.
The Dow Jones Industrial Average (DJIA - 22,872.89) closed at a record high, ending with a gain of 42.2 points, or 0.2%. Leading the pack of 17 Dow gainers was Johnson & Johnson (JNJ) with a 2.1% gain, while General Electric (GE) paced the 13 losers with a 1.2% drop.
The S&P 500 Index (SPX - 2,555.24) managed to touch a record high of its own at the buzzer, closing at an all-time peak, up 4.6 points, or 0.2%. The Nasdaq Composite (IXIC - 6,603.55) ended up 16.3 points, or 0.3%, for a record closing high.
The CBOE Volatility Index (VIX - 9.85) lost 0.2 point, or 2.3%.
5 Items on Our Radar Today
- Facebook announced plans to sell a new virtual reality (VR) headset for $199 early next year. Dubbed the "Oculus Go," the headset is designed to work without the help of a phone or computer. (CNBC)
- The U.S. men's soccer team did not qualify for the 2018 World Cup tournament for the first time since 1986, after losing to Trinidad & Tobago on Tuesday. The team's 2-1 loss could result in even greater losses for Twenty-First Century Fox (FOXA), which spent $425 million on broadcasting rights. (MarketWatch)
- How options traders are playing JPMorgan stock ahead of earnings.
- Behind PayPal stock's record high.
- Why General Electric ranks as the worst Dow stock of 2017.
Data courtesy of Trade-Alert
Commodities
Crude futures rose for a third straight session, after the Organization of the Petroleum Exporting Countries (OPEC) predicted higher demand in 2018. November-dated oil futures ended with a gain of 38 cents, or 0.8%, at $51.30 per barrel.
Gold broke its three-day win streak, as December-dated gold ended down $4.90, or 0.4%, at $1,288.90 an ounce. However, following the September Fed meeting minutes, futures on the malleable metal turned higher.