The Dow Jones Industrial Average today pared gains after a massive "Black Monday" rebound saw the market climb as many as 441.5 points. The Dow Jones Industrial Average and S&P 500 both slid into negative territory during the last 30 minutes of the trading session, one day after the Dow's worst three-day decline in its 133-year history. The Dow finished down more than 205 points on the day.
The S&P 500 Volatility Index (VIX), the market's fear gauge, fell more than 7% on the day, but it still remains high at 37.
Top Stock Market News
Stock Market News: The markets cratered in the last 30 minutes of trading, with the Dow Jones, Nasdaq, and S&P 500 falling on the day. It was the largest one-day reversal since October 2008. Concerns about global economic growth are rattling investors. Recent data suggests the Chinese economy is slowing, prompting the nation's central bank to slash interest rates for the second time in just two months. The Shanghai Composite Index cratered again on Tuesday, with the market falling more than 15% in two days. Despite worries about the world's second-largest economy, economic data in the United States suggests continued growth and optimism. U.S. consumer confidence struck a seven-month high in August, while new home sales recovered in July.
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On Tap Wednesday: Tomorrow, investors will keep an eye on an update on domestic oil inventories from the U.S. Energy Information Administration (EIA), a monthly report on U.S. durable goods for July, and last month's update on nondefense capital goods. Companies reporting earnings include Abercrombie & Fitch Co. (NYSE: ANF), Workday Inc. (Nasdaq: WDAY), Williams-Sonoma Inc. (NYSE: WSM), Avago Technologies Ltd. (Nasdaq: AVGO), Guess? Inc. (NYSE: GES), Chico's FAS Inc. (NYSE: CHS), and Molycorp Inc. (OTCMKTS: MCPIQ).
Stocks to Watch: AAPL, BBY, ACOR, TOL, NAVI
Stocks to Watch No. 1, AAPL: Shares of Apple Inc. (Nasdaq: AAPL) were up 0.6% as the tech giant attempts to recover from a very volatile trading session on Monday. It turns out that just one email from Apple CEO Tim Cook to the media was all it took to reverse weeks of negative sentiment from Wall Street. These folks are supposed to know better. Meanwhile, Money Morning's experts maintained their positive view on Apple stock, patiently explaining where Wall Street was going wrong. Here's how to play Apple stock right now.
Stocks to Watch No. 2, BBY: Shares of Best Buy Co. Inc. (NYSE: BBY) surged more than 12.5% after the electronics retailer reported a surprising surge in quarterly sales and profits. The firm reported net earnings came of $164 million, or $0.46 per share, compared to $146 million, or $0.39 per share, during the August-ending quarter last year.
Stocks to Watch No.3, ACOR: Shares of Acorda Thereupeutics Inc. (Nasdaq: ACOR) surged more than 8.3% today after the U.S. Patent Office rejected activist hedge fund manager Kyle Bass' suit that challenged the company's patent for its drug Ampyra. The stock has been under a lot of pressure after Bass' Coalition for Affordable Drugs pushed for a review of the company's patents. Shares were down nearly 30% for the year before the agency's announcement.
Stocks to Watch No. 4, TOL: Shares of Toll Brothers Inc. (NYSE: TOL) slipped more than 7.8% after the company reported weaker than expected quarterly earnings. The firm reported per-share earnings in the third quarter of $0.36 on revenue of $1.03 billion. Wall Street analysts anticipated per-share earnings of $0.49 on revenue of $1.04 billion.
Stocks to Watch No. 5, NAVI: Shares of Navient Corp. (Nasdaq: NAVI) slumped more than 7.8% to a new 52-week low. The student loan company is likely to be sued by the Consumer Financial Protection Bureau over allegations that the company cheated a number of its borrowers.
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.
