Learn the trade here. Make it on tradeMONSTER

Options Trading News

December 17, 2013  Tue 7:12 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are inching higher again this morning after bouncing at a key level yesterday.

S&P 500 futures are up about 0.1 percent. European indexes are down fractionally but near their highs of the session as New York's opening bell approaches. Asia was mostly higher overnight after the strong close in the United States yesterday. The one exception was China, which fell for a second consecutive session amid concerns of weakening economic growth.

The S&P 500 rose 0.6 percent yesterday after bouncing at the key 1772 level, and at one point was up almost a full percentage point. It's been climbing steadily all year as the economy improves and money shifts from bonds to equities. Attention now focuses on the Federal Reserve's policy announcement tomorrow afternoon, with some forecasters expecting the central bank to begin reducing monetary stimulus. While such a move would be bearish in theory, it has been anticipated for months and may not have a huge impact if it occurs.

Today's calendar features the consumer-price index and the trade balance at 8:30 a.m. ET and the NAHB housing market index at 10 a.m. The housing market index is most likely to affect market sentiment. Jabil Circuit and VeriFone Systems report earnings this afternoon as well. Germany's Zew survey of business confidence already came in stronger than expected with its highest reading in 6-1/2 years.

Our researchLAB market scanner shows risk appetite increasing in the last week as small caps and international stocks outperform. Consumer discretionary stocks, industrials, and materials have also fared well, while conservative sectors like health care, consumer staples, and utilities have lagged.
http://www.optionmonster.com/researchlab/

In company-specific news, Frontier Communications is indicated higher by 18 percent after agreeing to purchase AT&T's wireline operations in Connecticut for $2 billion. KKR Financial is up 29 percent after accepting a $2.6 billion stock buyout by KKR. Drug developer Targacept is down 25 percent after abandoning a potential schizophrenia treatment.

Commodities and currencies are somewhat bearish despite the gains in equity prices. Oil is lower fractionally, and natural gas is off 1 percent. Gold and silver are both down almost a full percentage point, while copper is only falling slightly. Agricultural products are mostly lower. The euro is down modestly, and the safe-haven Japanese yen is posting small gains across the board.
Share this article with your friends


Related Stories

SPX

Cramer: Answering all the critics

October 24, 2014

Wednesday's session was infuriating. The moment this market went down big, it was a terrific opportunity to buy. But so many people offered excuses not to.

SPX

Futures pause after sharp rebound

October 24, 2014

U.S. equity futures are pointing to a lower open this morning after stocks rallied sharply yesterday, recovering losses from the previous session.

SPX

Earnings, housing data top docket

October 24, 2014

The earnings parade will continue to dominate the agenda today. New home sales at 10 a.m. ET are the only economic data scheduled for release.

SPX

Strong earnings push futures higher

October 23, 2014

Caterpillar is up more than 4 percent after blowing out estimates. General Motors, 3M, Southwest Airlines, Comcast, and Eli Lilly are higher as well.

SPX

Jobless claims, earnings top docket

October 23, 2014

Jobless claims will be reported at 8:30 a.m. ET. The pre-market earnings lineup includes General Motors, 3M, Eli Lilly, Union Pacific, Celgene, Comcast, American Airlines, and Under Armour.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

Premium Services

Free Webinars

Make Money in a Volatile Market

Education & Strategy

Vexed by the VIX

Many people probably don't know that the calculation changed for the CBOE Volatility Index this week, but it's worth discussing...

View more education articles »
optionMONSTER stockMONSTER tradeMONSTER