Wednesday, 18 October, 2017

DJIA Today: Dow Jones Futures Extend Record Run to Four Days

E-mini Dow Jones Industrial Average Daily September E-mini Dow Jones Industrial Average
Melinda Barton | 17 September, 2017, 06:37

Lyxor UCITS ETF Dow Jones Industrial Average D-EUR (DJEL.L) shares opened the last session at 16541.00, touching a high of 16541.00 and a low of 16541.00, yielding a change of -189.00. The S&P 500 closed at 2,500.23 for a gain of 4.61 points or 0.18%.

Cancer treatment specialist Mirati Therapeutics Inc (NASDAQ:MRTX) was comfortably the top performer, more than doubling its stock price, after it said positive preliminary data from two ongoing clinical trials of sitravatinib in non-small cell lung cancer (NSCLC) would be presented at the IASLC 2017 Chicago Multidisciplinary Symposium in Thoracic Oncology today. Markets also rallied as on North Korea's decision not to conduct and anticipated missile test. The market remains in a firm uptrend despite underlying concerns of overvaluation.

"I don't think the market was expecting that kind of a strength in terms of inflation", said Victor Jones, director of trading at TD Ameritrade.

"Retail sales numbers from the USA are pretty disappointing".

August industrial production figures also fell well short of the mark, dropping by 0.9% month-on-month (consensus: 0.1%), according to figures from the Federal Reserve, as mining and utilities output.

Business software maker Oracle slumped 7.7 percent after issuing a disappointing forecast for its cloud computing business.

The former saw its price target slashed to US$53 from US$61 and the latter from US$84 to US$68.

Six of the 11 major S&P 500 sectors rose, led by a 0.88 percent increase in utilities.SPLRCU. "As inflation goes higher, that puts pressure on P/E ratios".

Both readings included the impact of Hurricane Harvey. The iShares PHLX Semiconductor ETF (SOXX) rose 1.8% in its fifth straight daily advance, marking its biggest weekly gain since July.

"Excluding the clear hurricane effects, the rest of the August retail sales data was subpar".

Over the course of the day 1,200 shares traded hands, as compared to an average volume of 1,660 over the last 30 days for Guggenheim Dow Jones Indl Avg Div ETF (NYSEARCA:DJD).

In the background, there was some "market chatter" regarding stocks" then high valuations, what with U.S. stocks trading at a cyclically-adjusted price-to-earnings ratio of about 30 - a level only seen just before the Great Depression and again prior to the "Dot com' bubble.