Stock Market Update Thursday, July 25th, 2019
Stocks retreated from record highs today, with the DOW suffering a triple-digit loss.
Is the Fed going to cut rates next week? And if so, will it be 25 or 50 basis points?
These are the questions traders have been asking for weeks. And this morning ECB President Mario Draghi put a damper on the idea of a 50 basis point cut when he left ECB rates unchanged, saying that there isn’t a “significant risk of a recession” in the EU.
Draghi’s comments had traders questioning how aggressive the Fed will be next week. After all, if Draghi isnt worried about a recession should the Fed be aggressive with rate cuts in the U.S.? We’ll find out next Wednesday!
The major indices opened lower and dropped. There was a small comeback late morning, then another slide during lunch.
Stocks just couldn’t recover after the mid-day slide, and the major indices finished the day with losses.
Both the NASDAQ and the S&P pulled back from record highs. And with today’s loss, their 3-day win streak comes to an end.
Here’s where the major indices ended the day:
- The S&P finished with a 0.5% loss. Down 16 points, the S&P ended at 3,004.
- The DOW ended lower by 0.5%. Dropping 129 points, the DOW closed at 27,141.
- The NASDAQ was down 1.0%. With an 83 point loss, the NASDAQ finished at 8,239.
Crude Oil (CL) made a move similiar to yesterday, opening higher then dropping. But today, CL managed to finished with a win. With a 0.3% gain, CL ended at $56.04 a barrel.
Facebook (FB) opened higher but finished lower, in spite of a better than expected earnings report. The stock ended the day with a 1.9% loss.
Tesla (TSLA) had a big gap down, then continued to slide because of yesterday’s worse than expected earnings report. Tesla reported a loss than was three times what was expected and ended the day with a 13.6% loss.
Ford (F) was also an earnings loser, losing 7.5% after an earnings miss.
Tomorrow we’ll see the reaction to some big names that reported this afternoon. Names like: Alphabet (GOOG), Amazon (AMZN), Intel (INTC), and Starbucks (SBUX).
Here is the economic calendar for the week:
Real Time Economic Calendar provided by Investing.com.
This Stock Market Update was provided by Rockwell Trading Services LLC.