Wall Street Preview:
Quiet Before the Storm?
Stocks on Wall Street yesterday ended mixed after a quiet trading day, investors taking the time to take in the damage Hurricane Harvey wreaked on Houston, Texas, along with its catastrophic flooding. There was movement yesterday, if you knew where to find it, and it was primarily in precious metals, which rallied higher.
In light of the storm battering Houston and other parts of Texas, some of the refineries situated there were forced to put operations on hold. Refinery stocks soared, including VLO, PSX, and MPC. The storm, in the meantime, led to an unprecedented amount of torrential rain and flooding in Houston, the fourth largest U.S. city. Investors will try to understand whether significant damage was borne by refineries, which, as a preventative measure, had halted activity.
A number of dynamics are moving the market as of now. First-off, headlines more inundated with fear about the political mêlée surrounding the credit ceiling. Second, the Fed plans on setting off on its quantitative tightening initiative next month. Third and last, stocks are vulnerable to a price correction, the number of stocks taking the lead becoming narrower and narrower, risk indexes bright red and valuations having hit extreme levels.
Daily Summary: The Dow Jones lost only a fraction of a percent. The S&P 500 tacked on 0.1%, the NASDAQ rising 0.3%. The Russell 2000 rose 0.4%, just barely climbing past its 200-period EMA.
Health stocks led the way higher with gains of 0.6% after Kite Pharma (KITE) soared 28% on the heels of the announcement that it would be taken over by Gilead (GILD) in a deal valued at close to $12 billion. Expedia (EXPE) fell 4.1% after the release that its CEO would apparently leave the company to take the reins of Uber.
Tuesday: In so far as market concerns go, North Korea has been up there all summer long – and could definitely be investors’ focus today after Kim Jong-un shot a ballistic missile that cruised above Japan before exploding above the Pacific Ocean. Future contracts, in response, fell substantially by about 0.5%, as of the writing of these lines. The Economic Diary will feature the Case Shiller real estate index at 9:00 N.Y. time. The August Consumer Confidence Index will be released at 10:00.
Today’s Hot Stocks: FINL, NKE, FL, UAA, DKS, CTLT, BBY, HAIN
Have a great trading day!
|Wednesday||8:15||ADP Employment Report||182,000||Medium|
|Wednesday||10:30||Crude Oil Inventory||–||Low|
|Thursday||8:30||Jobless Claims||237 K||Medium|
|Thursday||8:30||Personal Income and Outlays||0.4 %||Medium|
|Thursday||10:00||Pending Home Sales Index||0.8%||Medium|
|Friday||8:30||Unemployment Rate||4.3 %||High|
|Friday||8:30||Average Hourly Earnings||0.2%||High|
|Friday||10:00||ISM Mfg Index||56.6||High|
|BBY||Best Buy Co., Inc.||AM||Tuesday|
|HAIN||The Hain Celestial Group, Inc.||AM||Tuesday|
|HRB||H&R Block, Inc.||PM||Tuesday|
|GLNG||Golar LNG Limited||AM||Wednesday|
|ADI||Analog Devices, Inc.||AM||Wednesday|
|CTRP||Ctrip.com International, Ltd.||PM||Wednesday|
|FIVE||Five Below, Inc.||AM||Thursday|
|DG||Dollar General Corporation||AM||Thursday|
|CPB||Campbell Soup Company||AM||Thursday|
|PANW||Palo Alto Networks, Inc.||PM||Thursday|
|LULU||Lululemon Athletica Inc.||PM||Thursday|
Today’s Picks – Day Trading!
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