Today’s quiet, uneventful trading session, seemed like a bit of the quiet before the storm. On the agenda for the week is a slew of earnings reports, and of course, the FOMC meeting, which begins tomorrow. Stocks were quiet most of the session, quietly drifting from red to green and back.
By the close, the Dow Jones Industrial Average was up 12 points to finish the day at 16,817. The S&P 500 was down 2 points to close at 1961. Gold was down $3 to trade at $1228 per ounce, while oil was down $.26 to trade at $80.74 per barrel WTI.
The aforementioned oil seems to be what traders are focusing on, tending to sell when the black gold drops below $80 per barrel, and buy when it recovers to trade above $80. Yes, lower oil prices is good for the consumer, but oil dropping below $80 does pressure the energy sector in particular- one that has been providing a major portion of our job gains in this country recently. So, oil dropping is somewhat of a double edged sword when it comes to stocks. Remember, domestic energy companies are some of our largest and most profitable companies, and are somewhat heavily weighted in market averages.
Let’s see how this week’s earnings measure up, and we’ll be keeping an eye on the Fed statement due out Wednesday afternoon. It should be a busy week.
Have a nice evening everyone.