The major indexes made valiant efforts to recover from yesterday's losses
Stock staged a remarkable comeback from yesterday's selloff, with the Dow settling 300 points higher on Thursday after trading up over 600 points at its session highs, thanks to outsized gains from the likes of Disney (DIS) and American Express (AXP). The S&P 500 and Nasdaq Composite also enjoyed rebounds, while the Cboe Volatility Index (VIX) took a step back, giving back most of yesterday's gains to notch its biggest one-day drop since March.
Meanwhile, Wall Street's attention is pointed towards the Reddit-fueled speculative trading frenzy that is making a number of heavily shorted names extremely volatile. Several online brokerage firms, including Robinhood and Interactive Brokers, made moves to curb some of this volatility by restricting trading, drawing criticism from lawmakers on both sides of the aisle.
Continue reading for more on today's market, including:
- Chewy stock's selloff won't last long, says signal.
- Another WallStreetBets target facing extreme volatility.
- Plus, options bulls eye airline stock; EBAY brushes off downgrade; and TOL pulls back after bear note.
The Dow Jones Industrial Average (DJI - 30,603.36) added 300.2 points, or nearly 1% for the day. Walt Disney (DIS) led the gainers with a 5.4% pop, while Apple (AAPL) fell to the bottom of the index with a 5% dip.
Meanwhile, the S&P 500 Index (SPX - 3,787.38) settled 36.6 points, or 1% higher, while the Nasdaq Composite (IXIC - 13,337.16) tacked on 66.6 points, or 0.5%.
Lastly, the Cboe Volatility Index (VIX - 30.21) trimmed off 7 points, or 18.8% for the day.
- A new report shows 56% of Americans said they would travel for leisure this year, though 48% said vaccination will influence their decision to take a vacation. (CNBC)
- The Japanese government denied a report from the Times of London that indicated the Summer Olympics in Tokyo would be cancelled due to rising Covid-19 cases. (MarketWatch)
- One airline stock seeing red-hot options activity after earnings.
- EBAY showed resilience after a downgrade from Deutsche Bank.
- The homebuilding stock pulling back from highs after a bear note.
Gold Logs Longest Losing Streak Since March 2019
Gold just registered its longest fall since March 2019, dropping for a sixth consecutive session as Treasury yields spiked, while yesterday's Federal Reserve decision to keep interest rates near zero also dulled the metal. February-dated gold lost $7, or 0.4%, to finish at $1,837.90 per ounce.
Oil prices pulled back today as well, as anxieties over softening energy demand amid new Covid-19 developments usurped yesterday's decline in crude inventories. As a result, March-dated crude shed 51 cents, or 1% for the day, to settle at $52.34 per barrel.