Options Trading News

July 9, 2013  Tue 7:12 AM CT

Stocks are climbing again today but may face headwinds after two weeks of gains.

S&P 500 futures rose less than half a percent and are attempting to climb from their session lows reached in the last hour. Europe is up half a percent to a full percentage point but remains near the lows of the day.

Asian markets were strong overnight, led by a 2.6 percent gain in Tokyo, despite signs of continued economic weakness in China. Copper and energy, bellwethers of global demand, are lower.

The S&P 500 has appreciated more than 3 percent since touching key support at its 100-day moving average in late June. It's now back in the same area where it peaked in the middle of last month, which could lead some chart watchers to expect a pause. There are also few scheduled events that could serve as catalysts until same-store sales and initial jobless claims on Thursday morning.

Last night China reported lower-than-expected inflation because of weak demand on the mainland, and factory prices continued to fall. Aluminum producer Alcoa, on the other hand, reported better-than-expected profit thanks to strong demand from auto makers and aerospace customers in the United States. Its announcement marked the start of earnings season, and corporate announcements will increase steadily in the next three weeks.

Price action in the market has reflected a belief that economic conditions and incomes will continue to improve in the U.S., according to our researchLAB market scanner: Consumer discretionary stocks have led the gains in the last two weeks--especially those related to travel, such as  vehicle makers, car rental and travel agencies.

Commodities are mixed, with copper down by 1.5 percent and energy prices modestly lower. But precious metals and agricultural products are higher. Foreign-exchange markets are similarly indecisive, with the euro lower while the Australian dollar and Canadian dollars are climbing despite weakness in copper and energy.

In company-specific news, Intuitive Surgical is indicated lower by 15 percent after forecasting weak sales of its DaVinci devices. Amarin is also lower after announcing it plans to sell shares. WD-40, on the other hand, is up after earning and revenue breezed past forecasts. 
Share this article with your friends

Related Stories


Stocks inch higher before data

November 25, 2015

S&P 500 futures are up about 0.1 percent, while most of Europe is rallying more than 1 percent. Asia was mostly lower overnight.


Calendar is busy before holiday

November 25, 2015

Today's agenda is packed with data, including mortgage applications, jobless claims, durable goods, personal income and spending, consumer sentiment, and new home sales.


Stocks fall after Russian jet downed

November 24, 2015

S&P 500 futures are down 0.6 percent, while most of Europe has fallen more than 1 percent. Asian markets were little-changed.


GDP, consumer confidence on tap

November 24, 2015

The second reading on third-quarter GDP is scheduled for 8:30 a.m. ET. Forecasters anticipate growth of 2 percent, up from the previously reported 1.5 percent gain.


Stocks drift into busy week of data

November 23, 2015

S&P 500 futures are little-changed, while most of Europe is fractionally lower. Asia also posted small losses overnight. There's also significant volatility in oil.


Premium Services

Education & Strategy

The art of trading

As I stated in last week's article, a break out or a break down needs to have a couple things happen before it is considered a confirmed break out or break down. The only problem is that in today's market where things move much more quicker than they did just a few years ago, two days could wind up being the majority of the expected movement, if not the whole movement.

View more education articles »