Why the Dow Jones Industrial Average Today Fell 36 Points

For May 12, 2015, here's how the stock market did today, earnings reports, the top stock market news, and stocks to watch based on today's market moves...

How Did the Stock Market Do Today?

Dow: 18,065.23, -36.94, -0.20%                             

Dow-Jones-Industrial-Average-Today_051215S&P 500: 2,099.12, -6.21, -0.29%

Nasdaq: 4,976.19, -17.38, -0.35%

The DJIA Index pared early triple-digit losses as U.S. Treasury prices reversed course, but the index still lost 36 points on the day.

Dow Chemical Co. (NYSE: DOW) was the biggest drag on the Dow today, slipping 1.73%. The company's rival, Dupont Co. (NYSE: DD), slipped 0.73%.

Top Stock Market News Today

  • Greek Tragedy: The Greek finance ministry made a 750 million euro ($838.2 million) loan repayment to the International Monetary Fund (IMF) last night, one day before the imposed deadline. However, the nation isn't out of the woods just yet. Here's a breakdown of why this $360 billion problem is just getting underway.
  • Fed Talk: San Francisco Fed President John Williams said in a speech this morning that he wants the central bank to begin raising interest rates "a bit earlier" than other members. Williams says that doing so as soon as June would ensure that rate increases can be gradual. Williams says the Fed's fascination with waiting until inflation is at 2% could lead to a much more drastic hike in the future and unbalance both the U.S. economy and the broader markets.
  • On Tap Wednesday: Tomorrow, investors will watch for the EIA crude oil inventory report as domestic supplies remain in focus. Monthly retail and automotive sales for the month of April will likely affect stocks in both sectors, especially in the former as JC Penney Co. Inc. (NYSE: JCP), Macy's Inc. (NYSE: M), and Ralph Lauren Corp. (NYSE: RL) announce quarterly earnings.

Stocks to Watch: AAPL, TSLA, AOL, PLL, RAX, GPS

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  • Stocks to Watch No. 1, AAPL: Shares of Apple Inc. (Nasdaq: AAPL) rose 0.4% intraday on news that the company is exploring a deal with Alibaba Group Holding Ltd. (NYSE: BABA) that could bring Apple Pay to China. AAPL stock ended the day down 0.36%.
  • Stocks to Watch No. 2, TSLA: A new report by Bloomberg indicates Tesla Motors Inc.'s (Nasdaq: TSLA) new battery pack might hit sales of $1 billion faster than Apple's original iPhone launch in 2007. Tesla's line of stackable batteries reached total reservations of $800 million in just its first week of taking orders. TSLA stock gained 2.19% on the day.
  • Stocks to Watch No. 3, AOL: Shares of AOL Inc. (NYSE: AOL) jumped 18.6% on news that the company has been purchased by Verizon Communications Inc. (NYSE: VZ) for roughly $4.4 billion. It's a remarkably small valuation when compared to the $165 billion that Time Warner paid in 2000 for AOL. Shares of VZ slipped a little more than 0.6% after the deal emerged. For many months, activist investors had pressed for Yahoo Inc. (Nasdaq: YHOO) to consider a deal for the iconic digital company.
  • Stocks to Watch No. 4, PLL: Shares of Pall Corp. (NYSE: PLL) surged 19.44% on news that the manufacturer of filtration and purification systems is in the late stages of an auction that could see it sell for more than $10 billion. The Wall Street Journal reported potential buyers may include U.S. healthcare giant Danaher Corp. (NYSE: DHR) and science tech firm Thermo Fisher Scientific Inc. (NYSE: TMO).
  • Stocks to Watch No. 5, RAX: Shares of Rackspace Hosting Inc. (NYSE: RAX) slipped 13.5% after the company reported weaker than expected first-quarter revenue and slashed its second-quarter outlook. The cloud-based web-hosting company said that a stronger U.S. dollar affected its quarter and that it expects revenue in the next quarter to fall between $487.4 million and $492.2 million, below average Wall Street expectations of $502.1 million.
  • Stocks to Watch No. 6, GPS: Shares of Gap Inc. (NYSE: GPS) slipped 3.79% today after the company reported weaker than expected first-quarter earnings. The company reported weak same-store sales at its Gap Global and Banana Republic locations. The news comes a day before retail sector-wide sales are reported for the month of April.

What Investors Must Know This Week

About the Author

Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.

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