Stock Market Update Thursday, May 7th, 2020
Stocks finished higher today with tech stocks leading the way.
Before today’s open traders had weekly Jobless Claims to digest. The report showed that last week 3.17 million Americans filed for unemployment. This brings the 7-week total to 33.5 million.
But the 3 million plus claims were considered to be a positive thing, since the number showed a 677,000 drop from last week’s claims. :/
Stocks were up nicely at the open, then chopped around in the morning. But by lunch, the major indices were trading at session highs.
At one point the S&P was up almost 2.0%. But stocks struggled to rally past midday highs and stocks dropped in the afternoon. The slide gave up some of the day’s earlier gains but stocks still finished nicely higher.
Once again the NASDAQ led the way today, higher for the 4th day straight.
Here’s where the major indices ended the day:
- The S&P finished with a 1.2% gain. Up 33 points, the S&P ended at 2,881.
- The DOW ended 0.9% higher. Adding 211 points the DOW closed at 23,876.
- The NASDAQ was up 1.4%. With a 125 point gain the NASDAQ finished at 8,980.
Crude Oil (CL) opened strong but quickly reversed course. With a 1.1% loss, Crude Oil ended the day at $23.72 a barrel.
With the push to re-open the economy, companies that would benefit the most (travel and hotel stocks) rallied.
MGM (MGM) was up 7.3%, Marriott (MAR) increased by 6.0%, Norwegian (NCLH) rallied 7.9% and Carnival (CCL) was higher by 5.5%.
With today’s gains the VIX (aka “Fear Index”) dropped to its lowest level since March 4th, down 7.9% with a reading of 31.4.
Tomorrow we’ll get the closely watched Jobs Report. The report is expected to show a 16% unemployment rate with 21 million non-farm jobs lost in April…the worst ever.
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.