OptionsHouse

Options Trading News

March 14, 2014  Fri 7:14 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are trying to rebound from yesterday's selloff and while attempting to hold support at their recent highs.

S&P 500 futures were fractionally positive earlier but are now off slightly. Europe is down again on fears of tensions in Ukraine, led by a drop of more than 1 percent in Milan. Tokyo fell 3 percent overnight, leading the declines in Asia as the Japanese yen rallied. Australia and Hong Kong dropped a full percentage point as well, though Mumbai managed to eke out another gain.

Residents of Crimea will vote Sunday on whether their province should secede from Ukraine and effectively become a Russian client state. Western leaders oppose the vote and will likely impose economic sanctions against Moscow if it proceeds. That's hurt sentiment toward emerging markets and distracted attention from increasingly strong economic news in the United States.

Yesterday, for instance, weekly jobless claims and monthly retail sales exceeded expectations on the heels of strong manufacturing and payrolls numbers earlier in the month. Today's agenda includes consumer sentiment and producer prices, while next week brings various housing reports and a Federal Reserve policy announcement on Wednesday.

The S&P 500 declined 1.17 percent yesterday, its biggest drop since the start of last month. It's now back near the same 1850 level where it double-topped in December and January, so now the bulls will be looking for old resistance to become support.

Utilities were the only major sector to advance yesterday and have been the strongest area in the last week, according to optionMONSTER's researchLAB analysis tool. Oil refiners and gold miners have also climbed, while industrials and consumer-discretionary stocks have fallen the most.

In company-specific news, Aeropostale is indicated lower by 14 percent after reporting a wider-than-expected quarterly loss. Most other retailers have also struggled following a difficult holiday-shopping season. Ulta Salon, however, is up 8 percent after quarterly reports beat consensus estimates. General Mills dipped about 3 percent after pre-announcing weak profits.

Copper Tire & Rubber advanced 3 percent on strong earnings and revenues.
Commodities are mostly higher as silver and copper rise almost 1 percent and oil climbs about 0.5 percent. Corn and wheat are also posting small gains.

Currencies are mixed, with the safe-haven Japanese yen pushing higher across the board. But the euro and Australian dollar are attempting to rebound.
Share this article with your friends


Related Stories

SPX

Futures climb after jobs report

July 2, 2015

S&P 500 rose 0.3 percent, up from an earlier gain of 0.1 percent after non-farm payrolls missed estimates by a small margin.

SPX

Job data in focus before holiday

July 2, 2015

Non-farm payrolls, moved forward from Friday, and weekly jobless claims are due at 8:30 a.m. ET. Factory orders for May follow at 10 a.m. ET.

SPX

Stocks hold gains after jobs data

July 1, 2015

S&P 500 futures rebounded 0.8 percent as investors look past the Greek debt crisis and focus on economic news. Europe was broadly higher while bonds continue to fall.

SPX

ADP jobs, ISM lead busy agenda

July 1, 2015

Mortgage applications are today's first U.S. headline, followed by ADP private-sector payrolls and the Institute for Supply Management's manufacturing index.

SPX

Cramer: 7 reasons for a selloff

June 30, 2015

At least seven issues would have driven us down at least 1 percent yesterday. And you can tack on another 0.75 percent from the moves by parties on both side of the Greek crisis.

Invest Like a Monster - San Antonio: October 9-10

Premium Services

Archived Webinar

Education & Strategy

Real vs. Synthetic

We now know that there are two ways of creating a call position, a put position, and a stock position. We can simply use the actual real security or we can recreate it synthetically. We can create these positions in both long and short forms and this ability sets up an interesting scenario--an arbitrage!

View more education articles »