Legal drama surrounding Trump's cohorts weighed on stocks
The Dow snapped its four-day winning streak, as traders considered the potential ramifications of Michael Cohen's guilty plea and the conviction of Paul Manafort, both of whom have ties to President Donald Trump. In addition, traders digested the latest Fed meeting minutes, which indicated that a September rate hike is still likely in the cards, but that "an escalation in international trade disputes was a potentially consequential downside risk." Meanwhile, the S&P ended a wishy-washy session lower, despite a slew of impressive retail earnings and a solid session for energy stocks, while a strong day for tech helped push the Nasdaq to a fifth straight win.
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The Dow Jones Industrial Average (DJI - 25,733.60) fell 88.7 points, or 0.3%, for the day. Exxon Mobil (XOM) led the mere eight advancing blue chips with a 1.4% gain, while United Technologies (UTX) paced the 22 decliners with a 2% drop.
The S&P 500 Index (SPX - 2,861.82) shed 1.1 points, or 0.04%, while the Nasdaq Composite (IXIC - 7,889.10) held onto a gain of 29.9 points, or 0.4%.
The Cboe Volatility Index (VIX - 12.25) lost 0.6 point, or 4.7%.
5 Items on our Radar Today
- The Hawaii Tourism Authority said tourists planning on traveling to the islands this week should "make adjustments to travel plans," as Category 4 Hurricane Lane encroaches. The storm was recently downgraded from a Category 5, though it is still expected to hit within 24 hours, with several beaches and national parks already closed. (MarketWatch)
- Earlier today, a Russian man in Berlin was detained after being suspected of planning a terrorist attack. The man was arrested during a raid of his apartment, where authorities found large quantities of explosives. (Reuters)
- 2 Dow stocks with cheap calls.
- Finisar put volume popped on a downgrade.
- Salesforce stock was showered in bull notes before earnings.
Data courtesy of Trade-Alert
October Crude Rises on Steep Drop in Domestic Stockpiles
October-dated oil rose in today's session, after the weekly crude inventories report showed a larger-than-expected drop in U.S. stockpiles. Crude futures gained $2.02, or 3.1%, to settle at $67.86 per barrel, marking a fifth straight gain.
Gold futures managed another day above $1,200, as the greenback softened once again, and after the Fed meeting minutes. December-dated gold picked up $3.30, or 0.3%, to settle at $1,203.30 per ounce.