VIX Closes Below 50-Day MA

MARKET SUMMARY
U.S. markets showed strength throughout the session after geopolitical concerns eased and positive developments concerning TPP emerged. News that President Trump has designated economic adviser Larry Kudlow and Trade Representative Robert Lighthizer to review whether to rejoin the Trans-Pacific Partnership trade accord helped lift market spirits.

Volatility closed below a key level of support with the market at 3-week highs ahead of tomorrow’s earnings reports from a number of financial companies.

The Dow made a push to 24,592 after zooming 1.2% to move within spitting distance of clearing its 50-day moving average. The Nasdaq jumped 1% following its run to 7,166 while closing in on the 7,200 level and its 50-day moving average.

The S&P 500 soared 0.8% after trading north of 2,674 to regain positive territory for the year by a point but a level that failed to hold into the close. The Russell 2000 rallied 0.7% to extend its winning streak to 4-straight sessions after testing an intraday high of 1,562.

ANALYST UPGRADES / DOWNGRADES
Incyte (INCY) upgraded to Buy from Neutral at UBS
Prologis (PLD) upgraded to Buy from Hold at Jefferies
Mylan (MYL) upgraded to Outperform from Market Perform at Leerink

J.B. Hunt (JBHT) downgraded to Sector Weight from Overweight at KeyBanc
Devon Energy (DVN) downgraded to Outperform from Focus List at Scotia Howard Weil
Bed Bath & Beyond (BBBY) downgraded to Underperform at Raymond James.

EARNINGS
Friday’s earnings:
Before the open: Citigroup (C), First Republic Bank (FRC), Infosys Technologies (INFY), JPMorgan Chase (JPM), PNC Bank (PNC), Wells Fargo (WFC)
After the close: DPW Holdings (DPW)

UPCOMING ECONOMIC NEWS
Friday’s economic reports (EST):
Consumer Sentiment – 10:00am
Jolts – 10:00am
Baker-Hughes Rig Count – 1:00pm

METALS / OIL
Gold closed at $1341.90 an ounce, down $18.10
Silver closed at $16.47 an ounce, down $0.30
Copper finished at $3.06 a pound, down $0.05
Crude Oil closed at $67.13 a barrel, up $0.35
Bitcoin Investment Trust (GBTC) settled at $12.48 up $1.00

Make it a great day!

Todd Mitchell

QUOTE OF THE DAY