27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
Investor apprehension grips Wall Street with major indices showing midday losses on Tuesday in New York trading, ahead of the Federal Reserve’s potentially hawkish pivot in Wednesday’s meeting. (lock stock barrel)
The S&P 500 retraced 0.9% after a 2-day positive streak, with the tech-heavy Nasdaq 100 slightly underperforming, down 1.1%. Small caps suffered larger losses, with the iShares Russell 2000 ETF
IWM
down 1.5%.
The stock market faced renewed pressure as economic data revealed a decline in consumer confidence and persistent wage pressures, putting further pressures on the Federal Reserve.
The Bureau of Labor Statistics reported a 1.2% increase in the employment cost index for the first quarter of 2024, surpassing market expectations of 1% growth and accelerating from the previous three-month period’s 0.9% rise. In April, the Conference Board consumer confidence index dropped from 103.1 to 97 points, falling short of forecasts for a rise to 104.
Bonds provided little refuge to investors as yields surged in response to comments from U.S. Treasury Secretary Janet Yellen, who voiced concerns about the deficit trajectory and proposed substantial measures to address budgetary gaps.
Yields on the 2-year Treasury note breached the psychological 5% threshold, aiming for the highest close since mid-November 2023. The U.S. dollar index (DXY), as tracked Invesco DB USD Index Bullish Fund ETF UUP, rose 0.6%.
Gold tumbled 1.7%, pressured by higher yields and stronger greenback. Bitcoin
BTC/USD-3.67%
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plummeted over 5%, on track for its worst daily performance in four weeks amid weak sentiment on cryptocurrencies.
Tuesday’s Performance In Major U.S. Indices, ETFs
Major Indices | Price | 1-day %chg |
S&P 500 | 5,070.03 | -0.9% |
Dow Jones | 37,992.61 | -1.0% |
Nasdaq 100 | 17,588.95 | -1.1% |
Russell 2000 | 1,982.84 | -1.6% |
Updated at 12:39 p.m. EDT
The SPDR S&P 500 ETF Trust
SPY
fell 0.9% to $505.30, the SPDR Dow Jones Industrial Average
DIA
fell 1.1% to $379.75 and the tech-heavy Invesco QQQ Trust
QQQ-1.25%
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fell 1.1% to $428.01, according to Benzinga Pro data.
Sector-wise, the Utilities Select Sector SPDR Fund
XLU
outperformed, up 0.1%, marking the sole positive performance among the eleven S&P 500 sectors. TheEnergySelect Sector SPDR Fund
XLE
was the major laggard, down 2.1%.
Tuesday’s Stock Movers
Tesla Inc. TSLA-5.12% Get Free Report fell 5%, following a 15% surge Monday on the heels of news potentially clearing the full self-driving service in China. Goldman Sachs tempered some of the excitement in a note on Tuesday.
Eli Lilly Company LLY+5.85% Get Free Report rose 4.6%, its strongest one-day gain since early February, as the pharmaceutical giant hiked 2024 revenue forecast.
Other stocks reacting to earnings were Coca-Cola Company KO-0.80% Get Free Report, down 0.5%; McDonald’s Corp. MCD-0.22% Get Free Report, down 0.2%; Eaton Corp. ETN+1.31% Get Free Report, down 3%; Marathon Petroleum Corp. MPC-7.62% Get Free Report, down 7.5%; Trane Technologies plc TT+5.49% Get Free Report, up 5.7%; PayPal Holdings Inc. PYPL+2.03% Get Free Report, up 1.2%; 3M Company MMM+4.46% Get Free Report, up 3.2%; Arch Capital Group Ltd. ACGL+2.31% + Free Alerts, up 2.8% and GE Healthcare Technologies Inc. GEHC-13.1% Get Free Report, down 13.4%.
Caterpillar Inc. CAT-4.38% Get Free Report fell 4.2% on news that the company will delist from European exchanges.
Warner Bros. Discovery Inc. WBD-8.95% Get Free Report fell 9.3%, hitting the lowest level since February 2009, after reports that the company could lose NBA TV rights to rival Comcast Corp.’s CMCSA-1.97% Get Free Report NBCUniversal and Amazon.com Inc. AMZN-1.02% Get Free Report
Notable names reporting after the close are Advanced Micro Devices, Inc. AMD+0.13% Get Free Report, Amazon.com, Inc., ONEOK, Inc. OKE-1.74% Get Free Report, Pinterest Inc. PINS-0.21% Get Free Report, Starbucks Corp. SBUX+0.44% Get Free Report, Skyworks Solutions, Inc. SWKS-0.17% Get Free Report, Unum Group UNM-0.71% + Free Alerts. Super Micro Computer, Inc. SMCI-3.17% Get Free Report, Stryker Corporation SYK-0.66% Get Free Report, Renaissancere Holdings Ltd. RNR-1.38% + Free Alerts, Prudential Financial, Inc. PRU-1.18% + Free Alerts , Diamondback Energy, Inc. FANG-1.77% Get Free Report, LPL Financial Holdings Inc. LPLA-1.65% Get Free Report , Clorox Co CLX-0.55% Get Free Report and Chesapeake Energy Corp CHK-1.88% Get Free Report. Read Next: Paramount Could Be Worth $4 Or $14 Per Share In Deal, Analyst Says: ‘We Prefer To Sit This One Out’
