Stock Market News For Nov 28, 2017
Benchmarks turned in mixed performances on Monday as the rally in retail stocks earlier in the session petered out. Moreover, energy shares declined after oil prices fell as investors speculated that the production-cut deal would be extended by OPEC in the meeting slated for this week. Nevertheless, investors remained hopeful of a likely cut in corporate taxes and this boosted the investor sentiment. Lastly, Robert Kaplan expressed his support for a quarter – point interest rate hike in December.
The Dow Jones Industrial Average (DJIA) increased 0.1%, to close at 23,580.78. The S&P 500 Index (INX) declined 0.04% to close at 2,601.42. The tech-laden Nasdaq Composite Index (IXIC) closed at 6,878.52, declining 0.2%. A total of 5.7 billion shares were traded on Monday, lower than the last 20-session average of 6.4 billion shares. Decliners outnumbered advancers on the NYSE by a 1.68-to-1 ratio. On Nasdaq, a 1.43-to-1 ratio favored declining issues. The CBOE VIX decreased 0.1% to close at 9.87.
Black Friday Sales Push Retailers Higher
Holiday shopping continued even after Black Friday, eventually boosting gains for the retailers. Per the report from Adobe, Black Friday sales of online retailers totaled a whopping $5.03 billion. Online retail giant Amazon AMZN edged up 0.8% and posted its fourth consecutive record finish in as many trading sessions. The stock has soared 58% so far this year compared to a 16% increase in the S&P 500.
Meanwhile, retailers like American Eagle Outfitters AEO, Dillard’s Inc DDS and Gap Inc GPS all increased 1.8%, 4.7% and 1.21%, respectively. On the other hand, fast food retailer Chipotle Mexican Grill Inc CMG lost 1.8% and toy makers like Hasbro HAS and Mattel MAT declined 1% and 1.5%, respectively. Such losses pared gains made by retailers earlier in the session. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Did The Benchmarks Perform?
The Dow amassed 22.8 points to end in the green on Monday. Gains for the blue-chip index were supported by prospects of a likely cut in corporate tax rates as well as rally in retail stocks. Earlier in the session, the Dow hit an intraday high of 23,638.92.
Meanwhile, the S&P 500 lost one point to end in the negative territory. Of the 11 major segments of the S&P 500, five ended in the negative territory, with energy shares leading the decliners.
The Energy Select Sector SPDR ETF (XLE) declined 1%. Oil prices closed lower for the first time in the last four sessions. Such a decline came after investors speculated a possible extension of a production curtail deal at the OPEC meeting scheduled later this week. Moreover, the Nasdaq gave up 10.6 points to end in the red.
Robert Kaplan Supported December Rate Hike
On Monday, Dallas Fed President Robert Kaplan announced that he supported a quarter-point rate hike in December. Kaplan had earlier expressed his doubtfulness over the need to hike the interest rate in December. He also commented that it would be an appropriate move to work toward the ‘process of removing monetary accommodation.’
Meanwhile, the Federal Open Market Committee is scheduled to discuss the future of a rate hike when the body meets on Dec. 12-13. Interestingly, of the two rate hikes that were implemented this year, Kaplan had voted in favor of both the instances.
Stocks That Made Headlines
Petrobras Starts Production in Libra Field of Santos Basin
Petróleo Brasileiro S.A. or Petrobras PBR and its partners have initiated oil production in the Libra block of Santos Basin. (Read More)
Statoil Acquires Stakes in Two Fields From Total
Statoil ASA STO has entered into an agreement with Total SA TOT to acquire equity interests in two fields — Martin Linge and the Garantiana— from the latter. (Read More)
Today's Stocks from Zacks' Hottest Strategies
It's hard to believe, even for us at Zacks. But while the market gained +18.8% from 2016 - Q1 2017, our top stock-picking screens have returned +157.0%, +128.0%, +97.8%, +94.7%, and +90.2% respectively.
And this outperformance has not just been a recent phenomenon. Over the years it has been remarkably consistent. From 2000 - Q1 2017, the composite yearly average gain for these strategies has beaten the market more than 11X over. Maybe even more remarkable is the fact that we're willing to share their latest stocks with you without cost or obligation.
See Them Free>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Amazon.com, Inc. (AMZN) : Free Stock Analysis Report
Petroleo Brasileiro S.A.- Petrobras (PBR) : Free Stock Analysis Report
TotalFinaElf, S.A. (TOT) : Free Stock Analysis Report
Statoil ASA (STO) : Free Stock Analysis Report
American Eagle Outfitters, Inc. (AEO) : Free Stock Analysis Report
Gap, Inc. (The) (GPS) : Free Stock Analysis Report
Chipotle Mexican Grill, Inc. (CMG) : Free Stock Analysis Report
Dillard's, Inc. (DDS) : Free Stock Analysis Report
Hasbro, Inc. (HAS) : Free Stock Analysis Report
Mattel, Inc. (MAT) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
