DJIA Dips, as Market Bulls ‘Pause to Refresh’
The DJIA – 1.4% to 26076.89, the S&P 500 – 1.1% to 2822.43, and the NAS Comp – 0.9% to 7402.48.
Rising bond yields profit taking in healthcare shares pushed the DJIA due South Tuesday tapping the Key support zone, its biggest 1-day decliner since May.
Shares of healthcare-related companies sank after Amazon.com, Berkshire Hathaway and JPMorgan (NYSE:JPM) said they plan to form a venture aimed at lowering healthcare costs for their US employees.
The S&P health sector fell 1.8%, the most among the 11 major index sectors.
US Treasury long-dated yields rose in choppy trading ahead of a slew of events this week such as a Fed monetary policy decision which could help shed more light on the outlook for interest rates this year.
The CBOE Volatility Index (VXX), the most widely followed gauge for investor fear, rose to as much as 15.42, its highest level since August but still at 12 year lows.
All indications point to growing economy and expect to see some bargain hunters step in and buy this dip.
President Donald Trump’s 1st State of the Union address Tuesday evening will watched carefully for his comments on a $1.7-T infrastructure spending plan and on trade.
Tuesday, the major US stock market indexes finished at: DJIA -362.59 at 26076.89, NAS Comp -64.02 at 7402.48, S&P 500 -31.10 at 2822.43
Volume: Trade on the NYSE came in at:915-M/shares exchanged
Declining issues outnumbered advancers on the NYSE by 2,388 to 539, on the NAS Comp, 2,201 issues fell and 691 advanced.
The S&P 500 index showed 14 new 52-wk highs and 4 new lows the NAS Comp recorded 35 new highs and 37 new lows.
- NAS Comp: +7.2% YTD
- S&P 500: +5.6% YTD
- DJIA: +5.5% YTD
- Russell 2000: +3.1% YTD
|HeffX-LTN Analysis for DIA:||Overall||Short||Intermediate||Long|
|Bullish (0.48)||Bullish (0.36)||Very Bullish (0.50)||Very Bullish (0.58)|
|HeffX-LTN Analysis for SPY:||Overall||Short||Intermediate||Long|
|Very Bullish (0.51)||Bullish (0.43)||Very Bullish (0.52)||Very Bullish (0.58)|
|HeffX-LTN Analysis for QQQ:||Overall||Short||Intermediate||Long|
|Bullish (0.40)||Bullish (0.32)||Bullish (0.36)||Very Bullish (0.50)|
|HeffX-LTN Analysis for VXX:||Overall||Short||Intermediate||Long|
|Neutral (-0.01)||Neutral (0.24)||Neutral (-0.05)||Neutral (-0.21)|