Record Highs Don’t Come in Summers Rally
Stocks around the world rallied on Larry Summers’s shocking move to remove himself from consideration to lead the Federal Reserve.
Although the Dow Jones Industrial Average and the S&P 500 soared higher, bears were having a feast on Apple pie as Apple (NASDAQ:AAPL) shares sank 3.18 percent, helping to drag down the Nasdaq 100 Index.
Apple’s stock constitutes 11.55 percent of the weight of the Nasdaq 100, which was the only major index to finish Monday’s session in the red. Apple was not alone on the Nasdaq in finishing the day with a loss. Other heavily-weighted Nasdaq 100 stocks which posted red numbers were #3 Google (NASDAQ:GOOG), #4 Amazon (NASDAQ:AMZN), and #20 Facebook (NASDAQ:FB) — which did a 4.06 percent faceplant.
The S&P 500 soared to a session high of 1,704.95 — within spitting distance of its all-time record high of 1,709.67. The Dow Jones Industrial Average (NYSEARCA:DIA) gained 118 points to finish Monday’s trading session at 15,494 for a 0.77 percent advance. The S&P 500 (NYSEARCA:SPY) climbed 0.57 percent to close at 1,697. The Nasdaq 100 (NASDAQ:QQQ) declined 0.30 percent to finish at 3,168. The Russell 2000 (NYSEARCA:IWM) advanced 0.21 percent to end the day at 1,056.
In other major markets, oil (NYSEARCA:USO) sank 1.90 percent to close at $38.11. On London’s ICE Futures Europe Exchange, November futures for Brent crude oil fell $1.98 (1.77 percent) to $109.72/bbl. (NYSEARCA:BNO). December gold futures advanced by 70 cents (0.05 percent) to $1,309.30 per ounce (NYSEARCA:GLD). Transports were flying higher than the Bombardier CS100 on Monday, as the Dow Jones Transportation Average (NYSEARCA:IYT) soared by exactly one percent.