Stock Market News For Dec 07, 2017

The Nasdaq ended in the green on Wednesday after the technology sector posted its second straight day of gains. Despite the recovery in tech stocks, both the Dow and the S&P 500 closed in the red after energy stocks fell yesterday following a sudden plunge in oil prices. S&P 500 posted declines for the fourth straight sessions, its longest stretch of losses since March.

The Dow Jones Industrial Average (DJIA) decreased 0.2%, to close at 24,140.91. The S&P 500 Index (INX) fell 0.30 points to close at 2,629.27. However, the tech-laden Nasdaq Composite Index (IXIC) closed at 6,776.38, gaining 0.2%. A total of 6.3 billion shares were traded on Wednesday, lower than the last 20-session average of 6.6 billion shares. Decliners outnumbered advancers on the NYSE by a 1.36-to-1 ratio. On Nasdaq, a 1.89-to-1 ratio favored declining issues. The CBOE VIX decreased 2.7% to close at 11.02.

Tech Stocks Up For 2 Straight-Days

Recently, valuation concerns resulted in a selloff of tech stocks. Additionally, worries over possible inclusion of the alternative minimum tax in the final version of the Republican tax Bill also weighed on investor sentiment. However, after the recent selloff, tech stocks have registered two straight days of gains since investors have bought the sector on the dip.

The Technology Select Sector SPDR (XLK) rose more than 0.6%, becoming the best performer among key S&P 500 sectors. Some of its key holdings, including Facebook, Inc. (NASDAQ:FB) , Amazon.com, Inc. (NASDAQ:AMZN) , Netflix, Inc. (NASDAQ:NFLX) and Alphabet Inc. (NASDAQ:GOOGL) increased 1.9%, 0.9%, 0.6% and 1.3%, respectively.

Oil Prices Down More Than 2%

The U.S. Energy Information Administration (EIA) reported that U.S. commercial crude oil inventories slumped 5.6 million barrels to 448.1 million for the week ended December 1. However, the EIA reported that gasoline inventories jumped 6.8 million barrels, in contrast to analysts’ forecasts of a rise of only 1.145 million barrels. This led to a decline in oil prices on Wednesday, which witnessed strong gains recently owing to OPEC and non-OPEC countries’ decision to extend crude output controls till the end of next year.

WTI crude fell 3% to $55.96 per barrel. Brent crude also declined 2.7% to $61.22 a barrel. Decrease in oil prices led the Energy Select Sector SPDR (XLE (NYSE:XLE)) to fall 1.3% and emerge as the biggest decliner among the S&P 500 sectors. Both the two key oil behemoths, Chevron Corporation (NYSE:CVX) and Exxon Mobil Corporation (NYSE:XOM) decreased 0.7%. While Chevron hasa Zacks Rank #3 (Hold), Exxon Mobil has a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Stocks That Made Headlines

American Eagle Surges Despite Q3 Earnings & Sales Miss

Despite posting lower-than-expected earnings and sales for third-quarter fiscal 2017, shares of American Eagle Outfitters, Inc. (NYSE:AEO) rose yesterday. (Read More)

Dollar General Earnings & Sales Beat Estimates in Q3

Dollar General Corporation (NYSE:DG) delivered positive earnings surprise for the fourth consecutive quarter, when the company posted third-quarter fiscal 2017 results. (Read More)

Lululemon Jumps on Q3 Earnings & Sales Beat, Ups View

Lululemon Athletica Inc. (NASDAQ:LULU) delivered a robust third-quarter fiscal 2017 results, with both sales and earnings surpassing estimates and also improving year over year. (Read More)

Zacks' Hidden Trades

While we share many recommendations and ideas with the public, certain moves are hidden from everyone but selected members of our portfolio services. Would you like to peek behind the curtain today and view them?

Starting now, for the next month, I invite you to follow all Zacks' private buys and sells in real time from value to momentum...from stocks under $10 to ETF to option movers...from insider trades to companies that are about to report positive earnings surprises (we've called them with 80%+ accuracy). You can even look inside portfolios so exclusive that they are normally closed to new investors. Click here for Zacks' secret trade>>