Learn the trade here. Make it on tradeMONSTER

Options Trading News

July 24, 2013  Wed 7:14 AM CT

SPX: SEE CHART GET CHAIN FIND STRATEGIES
Stocks are climbing again today as momentum remains bullish and the news stays positive.

S&P 500 futures are up more than 0.4 percent, while Europe is rallying more than 1 percent. Asian markets were little-changed in the overnight session.

The S&P 500 fell slightly yesterday after making another record close on Monday but has been inching higher as it pushes against an earlier peak from May. If today's gains hold, it could represent a decisive break above resistance and draw new money to the market.

Strong corporate earnings and positive economic data have kept sentiment upbeat. Companies such as Apple, PepsiCo, Electronic Arts, Ford, and Boeing have beaten expectations. Europe's composite purchasing managers index also showed unexpected expansion, led by the strongest manufacturing reading in more than two years.

The news was less sanguine in Asia, where Japanese exports grew less than forecast and Chinese factory data disappointed.

Our proprietary researchLAB tool has shown a wide-ranging demand for equities, with no single sector dominating performance. In the last week, investors have returned to the global-growth theme by favoring beaten-down companies such as coal miners, copper producers, steel makers, and shipping stocks. Lesser-known financials, including non-traditional asset managers and financial guarantors, have outperformed. Riskier indexes such as mid-caps, transports, and small-caps have led to the upside as well.

Today's economic reports include new home sales at 10 a.m. ET and crude-oil inventories 30 minutes later. Tomorrow is the busiest day for data, with durable goods, initial jobless claims and Germany's Ifo survey of business confidence on the agenda.

Metals are continuing to advance today, led by a gain of almost 1 percent by copper, and less than half a percent for gold and silver. Energy prices are mixed, with Brent crude down and West Texas Intermediate roughly flat. That's potentially bearish for refiners.

A weak yen is the main theme in foreign-exchange markets today as the Japanese currency declines against all majors. The euro is also inching higher against the U.S. dollar, while the Australian dollar is down almost a full percent on the weak Chinese data.

Elsewhere in company-specific news, earth-moving giant Caterpillar fell almost 2 percent after earnings and revenue missed estimates. Management also lowered guidance. Norfolk Southern is down after missing on weak coal shipments.

Data-storage company EMC rose 5 percent after revenue beat consensus. General Dynamics, WellPoint, TE Connectivity, and Wyndham Worldwide also released strong numbers.
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.

TRADING WEEKLY OPTIONS

The fastest money in the market
View full report »

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