Markets continue to speculate on the timing of the next interest rate hike, however, today's rally was fueled by gains in all 10 S&P 500 main sectors.
This morning, weekly jobless claims came in lower than economist expectations. The report indicates a stronger labor market - a key consideration for the Federal Reserve. Weekly jobless claims increased to 260,000. But the rate of jobless claims is hovering near its lowest level since the 1970s.
Next week, the Federal Reserve will meet to discuss monetary policy and the possibility of an interest rate hike. According to CME FedWatch, the probability of a rate hike for September fell from 15% to roughly 12%.
Let's look at the final numbers on Thursday for the Dow, S&P 500, and Nasdaq:
Dow Jones: 18,212.48; +177.71; 0.99%
S&P 500: 2,147.26; +21.49; 1.01%
Nasdaq: 5,249.69; +75.92; 1.47%
Here's a look at today's most important market events and stocks, plus a preview of Friday's economic calendar.
DJIA Today: The Fed Remains in Focus, Oil Prices Continue to Slide
The Dow Jones rallied 177 points thanks to a strong surge in technology and energy stocks.
While the Federal Reserve is in focus next week, today was all about central banks in Europe. Both the Swiss National Bank and the Bank of England held interest rates at current levels. The BOE continues to speculate on the needs for additional stimulus to address financial damage caused by the Brexit vote.
It was a great day for dividend investors. Shares of Goodyear Tire & Rubber Co. (Nasdaq: GT) pushed up 5% on news that the firm hiked its dividend by 43%. Investors who are looking for the best dividend stocks to own and hold forever, look no further than this list.
Oil prices were pushing higher on Thursday. The WTI crude oil price today added 0.6%. Meanwhile, the Brent crude oil price gained 1.4%. Money Morning Global Energy Strategist Dr. Kent Moors has just issued his latest oil price prediction. But before we get to that, here's why crude oil prices have been so volatile this week.
The big news today was speculation on the presidential election. In recent weeks, GOP candidate Donald Trump has faced increased criticism that he hasn't provided enough information on his own economic plan. Money Morning Capital Wave Strategist Shah Gilani appeared on Fox Business' "Varney & Co." on Wednesday to react to early rumors about details in the real estate mogul's fiscal policy proposal. Get Gilani's insight, right here.
Top Stock Market News Today, Sept. 15, 2016
- Shares of Boeing Co. (NYSE: BA) were up on news that the firm will slash overtime pay for its salaried workers. Starting on Oct. 14, the decision will affect roughly 80,000 employees.
- Apple Inc. (Nasdaq: AAPL) stock rose more than 3.3% to a 2016 high on news that the company has sold out of its iPhone 7 Plus. The company has also benefited from a bad public relations problem for its rival Samsung Electronics, which is under pressure regarding the explosions of several Galaxy Note 7 devices. As we've said repeatedly, Apple is one of the best stocks to own for the long term. In fact, Money Morning Director of Tech & Venture Capital Michael A. Robinson has set a very aggressive stock price target for the firm moving forward. Here's why the Apple stock price is on the rise.
- Meanwhile, the strong pre-orders of the iPhone 7 have been positive for Apple's suppliers. Shares of semiconductor giant Skyworks Solutions (Nasdaq: SWKS) surged more than 6%, fueling the strongest gains for the S&P 500.
- Shares of McDonald's Corp. (NYSE: MCD) were up 0.6% on news that the company has received three bids for its assets in Hong Kong and China.
- Shares of Oracle Corp. (Nasdaq: ORCL) are in focus as the technology giant prepares to report first-quarter earnings after the bell. Wall Street anticipates per-share earnings (EPS) of $0.58 on top of $8.72 billion.
Friday's U.S. Economic Calendar (all times EDT)
- Consumer Price Index at 8:30 a.m.
- Consumer Sentiment at 10 a.m.
- Baker Hughes Rig Count at 1 p.m.
- Treasury International Capital at 4 p.m.
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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.