This morning’s earnings-fueled optimism evaporated by the end of the day. The Dow erased a more than 350-point gain to finish the day 215 points lower, while the S&P and Nasdaq also logged muted drops. A report from Bloomberg covering Apple’s (AAPL) plans to slow hiring and growth spending spooked traders, while the NAHB monthly confidence index marked its second biggest one-month drop on record. Meanwhile, Wall Street’s “fear gauge” — the Cboe Volatility Index (VIX) snapped a three-day losing streak.
Continue reading for more on today’s market, including:
- Shining a light on this promising solar energy name.
- Why investors should clean out their portfolio of Clorox shares.
- Plus, the retail stock to avoid; TSLA options activity ramps up; and what bruised PARA this morning.
The Dow Jones Average (DJI – 31,072.61) lost 215.7 points, or 0.7% for the day. Goldman Sachs (GS) led the gainers, adding 2.5%. Merck (MRK) paced the losers, shedding 2.8%.
The S&P 500 Index (SPX – 3,830.85) lost 32.3 points, or 0.8% for the day. Meanwhile, the Nasdaq Composite (IXIC – 11,360.05) shed 92.4 points, or 0.8% for the session.
Lastly, the Cboe Market Volatility Index (VIX – 25.30) added 1.1 point, or 4.4% for the day.
5 Things to Know Today
- A poll of McDonald’s franchises by the National Owners Association, an independent franchisee advocacy group for store owners, showed an overwhelming majority calling for a “no confidence” vote on the fast food giant’s CEO Chris Kempczinski and its U.S. president Joe Erlinger. (CNBC)
- Doctor Anthony Fauci, now 81 years old, said he will likely be retiring by the “end of Biden’s first term.” (MarketWatch)
- Steer clear of this retail concern right now.
- Behind the pre-earnings surge in Tesla’s options pits.
- The bear note that bruised Paramount Global stock this morning.
Traders Buy Into Last Week’s Dip in Oil Prices
Oil rose once again during today’s session as many bought into last week’s steep drop amid renewed supply fears. Specifically, President Joe Biden’s visit to Saudi Arabia yielded few results when it came to talks over renewed oil production in the region. August-dated crude added $5.01, or 5.1%, to finish at $102.60 per barrel for the day.
Gold prices rose off their 20-month lows on Monday, posting their first gain in three sessions as the U.S. Dollar showed some give and investors brushed off the recent rise in interest rates. August-dated gold added $6.60, or 0.4%, to close at $1,710.20 an ounce.