The Dow Jones Industrial Average today pared losses after falling 1,089 points this morning - the largest intraday decline in the index's 133-year history. The Dow Jones finished down 586 points on a day that the New York Stock Exchange implemented a little used provision called Rule 48 in order to preempt panic selling and ensure orderly trading in times of extreme volatility.
Investors remain concerned about growth amid a sharp sell-off in tech stocks. Shares of Apple Inc. (Nasdaq: AAPL) fell more than 1.7% after a brief sell-off this morning that saw shares fall to a 52-week low of $92. Apple stock had rallied as high as $108 per share this morning, after the company's CEO Tim Cook told CNBC's Jim Cramer it has seen a boost in iPhone activations in China, where many investors are concerned about the firm's future growth potential.
The S&P 500 Volatility Index (VIX), the market's fear gauge, surged more than 39% on the day. The VIX finished the day at 40, while jumping to an intraday high of 51.
Top Stock Market News Today
Stock Market News: A wild day of price swings sent the Dow Jones down more than 1,089 points in the opening hour, followed by an intraday rally that ultimately gave way to another afternoon sell-off. As Money Morning Chief Investment Strategist Keith Fitz-Gerald explains, the downturn has created an excellent time to go shopping for high-quality dividend-paying stocks. But here are the dangerous "weak-money" stocks he thinks you need to sell right now...
Money Morning Members: Keep reading for more on the historic plunge in the markets today. For those new to Money Morning, sign up to keep reading - it's completely free...
Oil Moves: Domestic WTI oil prices cratered again on Monday to their lowest levels since February 2009. WTI crude prices fell another 6.2%, settling below $38 per barrel. Meanwhile, Brent oil prices slumped 6.8% to $42.37 per barrel. Oil majors took a big hit this afternoon as oil prices continue to crash. Shares of Exxon Mobil Corp. (NYSE: XOM) fell more than 4.7%, while shares of Chevron Corp. (NYSE: CVX) were hovering near a 5% loss on the day. The downturn today has investors wondering one thing about oil: Will prices rebound from the "Black Monday" crash? Find out the answer, right here.
On Tap Tuesday: Tomorrow, investors will read into the FHFA Housing Price Index, await the monthly industrial Richmond Fed Manufacturing Index, and tune in on the July new home sales report. Companies reporting earnings include Best Buy Co. Inc. (NYSE: BBY), DSW Inc. (NYSE: DSW), and Toll Brothers Inc. (NYSE: TOL).
Stocks to Watch: SYT, BABA, YHOO, GAS, NFLX
Stocks to Watch No. 1, SYT: Shares of Syngenta AG (NYSE ADR: SYT) were up more than 6% on the day after the company received another takeover offer from U.S.-based Monsanto Co. (NYSE: MON). The proposed deal, worth roughly $47 billion, would combine the world's two largest seeds businesses. Syngenta has turned down a previous offer and said it will not open its financial books to discuss a possible takeover.
Stocks to Watch No. 2, BABA: Shares of Alibaba Group Holding Ltd. (NYSE: BABA) slipped 3.4% and dipped below its IPO price of $68. Alibaba stock is down, making it the second-largest tech giant to dip below its IPO price in the last three trading sessions. Shares of Twitter Inc. (NYSE: TWTR), which fell more than 2.3% today, slipped below its IPO price on Thursday and remains in bear territory.
Stocks to Watch No.3, YHOO: Shares of Yahoo! Inc. (Nasdaq: YHOO) were down 4.3% thanks to a decline in Alibaba stock. The tech giant owns a 20% stake in Alibaba and plans to spin off these holdings into a public entity.
Stocks to Watch No. 4,GAS: Shares of AGL Resources Inc. (NYSE: GAS) were up more than 28% on news the company has received a $12 billion takeover offer from Southern Co. (NYSE: SO). With the prices of energy commodities cratering in recent months, mergers and acquisitions are one of three ways that you can make money in the energy market right now. To learn about the other two, click here.
Stocks to Watch No. 5,NFLX: Shares of streaming video giant Netflix Inc. (Nasdaq: NFLX) were down nearly 7% despite news the company may partner with Japanese telecom and internet firm Softbank Group Corp. (OTCMKTS: SFTBF) in order to sell subscriptions in retail outlets. The deal is interesting because SoftBank owns and operates its own streaming service, Uula.
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.
