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The Dow Jones Industrial Average today (Wednesday, July 13) closed at another record level as the post-Brexit rally continues to push the markets into the stratosphere. The mainstream media is abuzz about the possibility of the Dow Jones reaching 20,000. Despite concerns about the Brexit's impact on the European Union and news that U.S. consumer spending is cooling off, the markets continue their surge.
While the mainstream headlines are saying that the "Global Rally" is just taking a breather on Wednesday, investors need to know about a number of other critical stories that might have slipped under the radar. No matter what happens on Thursday, Friday, or after the 2016 presidential election, there are always opportunities to make money in any market. And we're going to highlight a few key ways to profit from today's headlines.
Before we get to those stories, check out the results for the Dow Jones Industrial Average, S&P 500, and Nasdaq:
Dow Jones: 18,372.12; +24.45; +0.13%
S&P 500: 2,152.43; +0.29; +0.01%
Nasdaq: 5,005.73; -17.09; -0.34%
Now, here's the top stock market news today – and your best ways to profit…
DJIA Today: More Stimulus, Lower Oil Prices
The Dow Jones Industrial Average today added another 24 points as investors continue to anticipate more action by central banks to help bolster global growth. Markets are back on their sugar high after the Bank of Japan ordered another round of stimulus in order to boost growth, and traders anticipate the Bank of England will cut interest rates for the first time in almost eight years during its meeting tomorrow.
Meanwhile, the U.S. economy showed little signs of inflation in June despite news the U.S. economy continued to expand through the first six months of the year. Last night, Minneapolis Federal Reserve Bank President Neel Kashkari warned the central bank is falling short on its target goals for domestic employment and inflation. He said investors can expect increased patience from the Fed on interest rate policy.
As of Wednesday afternoon, the markets see a limited chance of a rate hike in 2016. According to CME FedWatch, the probability the Fed will increase rates in December currently sits at a little less than 33%.
The mainstream media won't admit it, but central banking lies are propping the markets up right now. And as Money Morning Capital Wave Strategist Shah Gilani explains, it could get very ugly, very fast for traders.
Oil prices were falling today after the International Energy Agency (IEA) said it anticipates an increased supply glut in the coming months. Meanwhile, the U.S. Energy Information Administration (EIA) reported a much smaller drawdown in domestic crude levels last week than economists had expected. WTI crude oil prices were off 4.4% to close at $44.75, while Brent crude oil prices slumped 4.1% to settle at $46.26.
As Money Morning Global Energy Strategist Dr. Kent Moors explains, the mainstream financial media was harping about this "oil glut," while short sellers worked to push oil prices down. The problem is no one in the mainstream press seems to have the faintest clue about this oil glut. Moors is sticking to his bullish oil forecast, and it can help you earn a tidy profit thanks to the market's overreaction to news out of Canada and Nigeria. Click here to see Moors' forecast that you won't find on CNBC or anywhere else.
But the big news today is the damning report from Congress indicating Chinese hackers broke into computers at the Federal Deposit Insurance Corporation between 2010 and 2013. What's worse, agency officials attempted to cover up the breach, according to a new report from the House of Representatives. The report raises serious concerns about U.S. cybersecurity and reveals the hackers were able to break directly into 10 servers and 12 computers at the agency. This included very sensitive information shared by FDIC chairman Martin J. Gruenberg, his chief of staff, and the agency's general counsel.
Now, let's look at the day's biggest stock movers and the best investments in times of global uncertainty.
Top Stock Market News Today
- Amazon.com Inc. (Nasdaq: AMZN) dominated the news. Shares of AMZN stock were off 0.8% after the company hosted its second annual Prime Day on Tuesday. However, the company did hit an all-time intraday high earlier in the trading session. The yearly event – dubbed "Christmas in July" – was expected to blow out the firm's $400 million in sales from 2015. Here's what we now know about Amazon's Prime Day performance – and why AMZN stock is now one of the best stocks to own for the road ahead.
- On the earnings front, shares of CSX Corp. (Nasdaq: CSX) popped 4.4% after the North American rail company topped second-quarter earnings expectations. The company said its ongoing efforts to slash costs across the board helped offset revenue challenges fueled by declines in rail freight. The company reported earnings per share (EPS) of $0.47 on top of $2.7 billion in revenue. Despite beating consensus Wall Street expectations, the firm saw an 11% revenue decline from a year ago.
- Shares of Allergan Plc. (NYSE: AGN) added 0.6% on key deal news. According to reports, Teva Pharmaceutical Industries Ltd. (NYSE ADR: TEVA) plans to close its $40 billion deal for Allergan's generics division very soon.
- Finally, here's your investment of the day. If you want to make real money, you need to invest in global companies that produce products human beings "need." This means looking outside the flashy investments in electric cars, mobile devices, and other consumer electronics. We're talking medicine, water, energy – and the things that keep society balanced in good times and in bad. Money Morning Chief Investment Strategist Keith Fitz-Gerald lays out the case for the best global companies out there today. Click here to get started and plan to own this stock for far less than its current value today.
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About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, and consultant with degrees from Northwestern, Johns Hopkins, Purdue, and Indiana University. He is a seasoned financial and political risk analyst, with a focus on stocks, hedge funds, private equity, blockchain, and housing policy. He has conducted risk assessment projects for clients in 27 countries, and consulted on policy and financial operations for some of the nation's largest financial institutions, including a $1.5 trillion credit fund, a $43 billion credit and auto loan giant, as well as two of the largest Wall Street banks by assets under management.
Garrett joined Money Map Press as an economist and researcher in 2011, specializing in alternative strategies with an emphasis on fundamental and technical analysis.