Day Traders Diary

11/13/19

The Dow Jones Industrial Average hit an all-time high on Wednesday as Disney shares popped while investors digested testimony from the top-ranking Federal Reserve official. The Dow finished up 92 points at 27,783 or 0.3%. Disney jumped 7.4% after the media giant said its Disney+ streaming service got more than 10 million sign-ups after launching on Tuesday.  The S&P 500 eked out a record closing high, ending the day up 0.1%. The Nasdaq Composite closed just below the flatline.

Gains were capped after Dow Jones reported U.S.-China trade talks have hit a snag over agricultural purchases. The report also said Beijing is resisting requests from the U.S. to curb tech transfers as well as enforcement mechanisms. China is also reportedly balking at commitments to specific farm purchases from the U.S.

In corporate news, Skyworks Solutions dropped a percent despite beating earnings estimates and guiding first quarter above consensus. Tech Data rose 2% after entering into a definitive agreement to be acquired by funds managed by affiliates of Apollo Global Management. SmileDirectClub dropped 20% after posting a loss in its first earnings report as a public company. Winter coat maker, Canada Goose fell 10% following better than expected earnings.

Separately, Nike rose 2% said it will stop selling products directly to Amazon. Nike was initiated with an Overweight rating at Barclays with a price target of $111.

U.S. Treasuries finished the session higher as part of the defensive trade today. The 2-yr yield declined two basis points to 1.63%, and the 10-yr yield declined four basis points to 1.87%. The U.S. Dollar Index finished little changed at 98.33. WTI crude increased 0.4% (+$0.23) to $57.08/bbl.