There was a couple of things that went in favor of the stock market today - a couple of big things! First, the European Central Bank surprised markets by cutting its benchmark interest rate a quarter of a percentage point. Then, a second buying wave happened when Greek Prime Minister George Papandreou abandoned his effort to put package of austerity measures to a public vote. So far this week, the financial markets have been driven up-and-down (well, first down, then up) by the news coming out of Europe.
Yesterday, some strong earnings reports helped propelled some individual stocks. Today, these stocks continued to rise with the broader market. MA popped more than $32 in the past two days. CF jumped more than $16, up +3% today. EOG vaulted $14 in the same time frame, up +4.15% today. This morning, ANR reported a blowout quarter, reporting a net income of 29 cents per share vs. an estimate of 9 cents per share! ANR rose more than +13%. EL not only reported a strong quarter; it announced a 40% dividend increase and a two-for-one stock split! EL shares were up +18% today.
There were some big movers on the market today. NFLX bounced +10.67%. PCLN gained more than $18. ISRG added $10.25. MDVN stock more than doubled, up +140%, on the latest prostate cancer drug trial data!
After the market, CHK reported a solid quarter and added almost +6% this evening. SBUX continued to do well with a quarterly profit up +29%, sending its shares up more than +3% after market.
The Dow was up +208.43 points; SPX added +23.25 points; Nasdaq gained +57.99 points:
GLD (gold) and SLV (silver) pushed higher today, with gold closing above $1760/ounce. OIH (oil services) climbed +2.71%. XME (metals and mining) went up +2.75%. SOXX (semiconductors) advanced +3%.
SPX added +23.25 points to close at 1261.15. It closed above its daily MAs, but the MACD stayed flat.
Nasdaq gained +57.99 points to close at 2697.97, just below 2700. Its MACD was also flat.
Although the market indices rallied today, VIX still managed to close above 30. With the market making sharp swings, we actually have not been trading much. Stocks have been gapping either up or down everyday this week. Sometimes, when the market is so volatile, it is better to just sit still. Tomorrow, we'll get the latest unemployment numbers, and, likely more news out of Europe. The good things is that the market has recovered the ground lost on Tuesday's big drop due to the surprise bomb from the Greek Prime Minister. Now that the bomb seemed to have been defused, we'll have to see if the market can resume its course.
Good night and HappyTrading! ™