Dow, SPX Log Record Highs On Initial Batch Of Corporate Earnings

Stocks are mostly higher this afternoon, hitting record levels as investors cheered on a strong initial batch of corporate earnings. At last check, the Dow Jones Industrial Average (DJIis up over 200 points, earlier hitting an all-time high as banks stocks jumped on strong earnings, including a blowout first quarter from blue-chip member Goldman Sachs (GS). The S&P 500 Index (SPX) also hit a new record high, while the Nasdaq Composite (IXIC) is trading modestly lower. Looking ahead, Federal Reserve Chair Jerome Powell is set to discuss economic recovery at the Economic Club of Washington at noon today.

Midday Market Stats April 14

One stock seeing ample call activity today is Walt Disney Co (NYSE: DIS), following news that the company announced an update to its dress and style guidelines for employees. The initiative aims to make employees and guests feel more welcome at its theme parks, and the company will provide more inclusive products for consumers. So far today, 50,000 calls have already crossed the tape, triple the amount that's typically seen at this point and more thane three times the amount of puts traded. The April 190 call is the most popular, followed by the May 200 call, with positions being opened at the former. At last check, DIS is up 2.5% at $190.25, contending with recent pressure at the $188 mark. The security has long term support from the 70-day moving average, though its 30-day moving average is still looming overhead. Year-over-year, Disney stock is up 78.7%.

DIS Chart April 14

Standing at the very top of the Nasdaq today is Discovery Inc Series B (Nasdaq: DISCB), last seen up 29.1% at $96.81, while class A and class C shares plunged following Credit Suisse's decision to unload 19 million shares of the two classes in the wake of the blowup at Archegos Capital Management. The stock is back on its way toward its March 31 record peak of $150.72, and just reclaimed its 10-day moving average after a brief stint below the trendline. Longer term, DISCB sports an spectacular 213.5% year-over-year lead. 

Meanwhile, sitting near the bottom of the Nasdaq is Bed Bath & Beyond Inc. (Nasdaq: BBBY), down 13.7% at $24.10 at last check, after the company turned in a mixed fiscal fourth-quarter earnings report. Despite earnings and revenue coming in slightly higher than analysts predicted, net sales during the quarter fell about 16%. On the charts, the shares have struggled since a Jan. 27, five-year peak of $53.90, earlier falling below the 80-day moving average for the first time since early January. Today's negative price action has the equity off over 18% for the current quarter, though its still up 34.9% year-to-date.

Disclaimer: Schaeffer's Investment Research ("SIR" or "we" or "us") is not registered as an investment adviser. SIR relies upon the "publishers' ...

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