Stock Market Today Reflects Strong Reliance on FOMC Meeting

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The stock market today opened on an optimistic note as worries abate about the Fed indicating an end to quantitative easing after this week's Federal Open Market Committee (FOMC) meeting.

Shortly after the opening bell, the Dow Jones Industrial Average surged 172.02, or 1.14%, at 15,242.20. The Standard & Poor's 500 Index soared 16.43, or 1.01%, at 1,643.16. The Nasdaq jumped 40.11, or 1.17%, at 3,463.67.

The stock market fell sharply Friday, logging its third weekly loss in the past four weeks. Investors were jittery ahead of this week's Fed meeting. The Dow experienced its fourth straight triple-digit move, ending a volatile week down 1.2%.

The S&P, one day after enjoying its best session since Jan. 2, gave back 9.63 points, or 0.6%. For the week, the S&P retreated 1% and the Nasdaq lost 21.81, or 0.6%.

"Markets are more fragile now, whereas they had been bulletproof by the bulls for the last six months," Joe Saluzzi, co-manager of trading at Themis Trading told CNBC. "Unfortunately, the only thing that everyone cares about is what the Fed's doing and that's troubling, when we should be looking at economic data, fundamentals and corporate profits…There are still warning signs being flagged right now and people are getting concerned.

Monday, investors appeared to be betting the Fed will stand pat.

Biggest News in the Stock Market Today

  • Netflix Inc. (Nasdaq: NFLX) shares were up nearly 6% after announcing a deal with DreamWorks. The animation company will create original shows for Netflix based on DreamWorks characters like Shrek and Kung Fu Panda.
  • The Boeing Company (NYSE: BA) shares rose more than 1% after CEO James McNerney told CNBC he is "highly confident" the battery problems with its 787 Dreamliners have been fixed.
  • Facebook Inc. (Nasdaq:FB) shares gained some 2% after sending out media invitations for a Thursday event in which it will reveal its next "big idea." Speculation is the social media giant may unveil an RSS-reader.
  • Johnson & Johnson (NYSE: JNJ) shares jumped 1.61% after announcing it will buy Aragon Pharmaceuticals, a private company running mid-stage clinical trials for a prostate cancer drug, for $650 million in cash.

The Stock Market Week Ahead

The earnings calendar is light this week, but there are some notable names on tap to report…

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  1. stock market | June 26, 2013

    It is crazy the volatility in the market. Just the hint of the taper and the market went completely off the hinges. Now the Q1 GDP numbers are out and were terrible. Market goes up. Completely dysfunctional.

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