Learn the trade here. Make it on tradeMONSTER

Options Trading News

April 12, 2013  Fri 7:16 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are pulling back today as investors take profits at record highs.

S&P 500 futures are down by more than 0.3 percent, while European indexes are falling by 0.5 percent to 1.3 percent. Most Asian bourses also fell overnight.

The selling occurs after the S&P 500 closed above its previous all-time highs from 2007 on Wednesday and Thursday. It also precedes key retail data at 8:30 a.m. ET, and a busy week of corporate earnings next week. JP Morgan had mixed results in today's big report.

The S&P 500 is already up 12 percent so far this year, propelled by an improving economic outlook and a gradual shift of investor sentiment back toward equities and away from fixed income. The two pullbacks that have occurred so far have been shallow, with the index remaining above its 50-day moving average.

Attention will shift toward corporate results for the rest of April as earnings season works its way up to full pace. Next week's big reports include blue-chip names such as Citigroup, Goldman Sachs, Johnson & Johnson, Coca-Cola, Intel, Bank of America, and American Express.

JP Morgan's profit beat expectations this morning, but revenue missed consensus estimates. The stock is down almost 1 percent in early trading. Wells Fargo had similar results.

Most commodities and currencies are painting a bearish picture. Oil, gold, and silver are down by more than a full percentage point, and copper is lower by almost the same margin. Agricultural foodstuffs, however, are ticking higher. The euro is also lower while the Japanese yen is gaining across the board.

Elsewhere in company-specific news, chemical producer Ashland is up 4 percent after hedge fund Jana Partners disclosed that it was building a large stake in the company. Coal miner Walter Energy also gained, saying its volumes and pricing have improved. Military contractor Harris is down 7 percent after saying that federal budget cuts would push results below estimates.
Share this article with your friends


Related Stories

SPX

Trade bets on big gains in S&P 500

October 31, 2014

A large trade is looking for gains of more than 10 percent in the benchmark index, which has been running higher from its recent low in the last two weeks.

SPX

Stocks rally on Japanese stimulus

October 31, 2014

S&P 500 futures are up a full percentage point, placing the index on track for its first move above 2000 in more than a month. The biggest move occurred in Tokyo, where the Nikkei surged almost 5 percent.

SPX

Calm before storm in economic data

October 31, 2014

Today brings a handful of events, followed by a heavy calendar of economic news next week that culminates in the non-farm payrolls report.

SPX

Stocks stay lower after GDP report

October 30, 2014

S&P 500 futures are down half a percent, following declines in Europe and commodity markets.

SPX

GDP, jobless claims lead agenda

October 30, 2014

Today's big data report is the first estimate for third-quarter gross domestic product at 8:30 a.m. ET. Economists expect growth of 3 percent.

Premium Services

Free Webinar Series

The 100K Challenge

Education & Strategy

Anatomy of a butterfly

One of the many esoterically named option strategies is known as a "butterfly." But don't be fooled: Like other advanced...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER