Stock Market Summary - Week Ending January 4, 2019

The new year began with turbulence for stocks, yet major indices did manage to close the first week of the year on a higher note. The Dow Jones Industrial Average (DJIA) closed the week 370.76 points higher at 23,433.16 a jump of 1.61% while the S&P 500 (SPX) added 46.20 points or 1.86% to finish the week at 2,531.94. The Russell 2000 (RUT) gained 42.83 points to close at 1,380.75, a rise of 3.20% and the Nasdaq (COMP) surged 154.34 points or 2.34% to close the week at 6,738.86. The S&P 100 (OEX) increased 22.30 points or 2.02% to close at 1,126.64 and the VIX calmed a bit by falling -6.96 to 21.38, a drop of -24.56% 

Corporate Gainers 

Celgene Corp (CELG) surged 35.99% overall for the week after the biotech company announced that it will be acquired by Bristol-Meyers Squibb Co. in what is developing to be the biggest pharma deal in history. This occurred on the same day that the company also announced it will be raising the price of one of its popular cancer drugs. 

Video streaming giant Roku Inc (ROKU) made the news again last week by soaring 11.84% in response to the company's announcement that it will be offering more premium channels to its offerings that will not require cable or satellite subscriptions. 

Heron Therapeutics Inc (HRTX) jumped 9.73% last week in average volume of trading after the company revealed positive outcomes from a pain-management study involving the combination of over-the-counter pain meds used in conjunction with HTX-011 for post-surgical pain management as an alternative to the administration of opioids. 

Corporate Sliders 

Bristol-Meyers Squibb Co (BMY) fell -7.95% adversely from Celgene Corp (CELG) after announcing that it will be acquiring Celgene for a record $74 billion in a landmark pharmaceutical company transaction. 

Apple Inc (AAPL) declined -5.10% after the tech giant lowered its outlook for fiscal 2019. The move came as a slowdown in China trade has negatively affected iPhone demand. 

Essex Property Trust Inc (ESS) dropped -3.15% after unusual options trading occurred on Thursday. Investors acquired 489 call options on Essex, representing an increase of nearly 690% compared to the average volume of call options. 

Economic Indicators of Note 

Initial Jobless Claims for the December 29 week rose by 10,000 to 231,000 while continuing claims in lagging data for the December 22 week increased by 32,000 to an average of 1.740 million. The unemployment rate remains very low at 3.9%. 

The ISM Manufacturing Index for December shows a significant slowing at a level of 54.1, below the consensus range low end of 56.0. 

Crude oil supplies for the December 28 week remained unchaned at 441.4 million barrels. Gasoline suppliesincreased by 6.9 million barrels to 240.0 million and distillates increased by 9.5 million barrels to 129.4 million. 

Upcoming Economic Events 
Market Movers: 
International Trade-Tuesday @ 8:30 a.m. ET 
EIA Petroleum Status Report-Wednesday @ 10:30 a.m. ET 
FOMC Minutes-Wednesday @ 2:00 p.m. ET 
Jobless Claims-Thursday @ 8:30 a.m. ET 
CPI-Friday @ 8:30 a.m. ET 

Events Worth Noting 
Factory Orders-Monday @ 10:00 a.m. ET 
ISM Non-Mfg Index-Monday @ 10:00 a.m. ET 
JOLTS-Tuesday @ 10:00 a.m. ET 
EIA Natural Gas Report-Thursday @ 10:30 a.m. ET 
Fed Balance Sheet-Thursday @ 4:30 a.m. ET 
Treasury Budget-Friday @ 2:00 p.m. ET 

Index Trading Levels For Week Ending 1/4/2019 
DJIA 23433.16 (Dow Jones) 
SPX 2531.94 (S&P 500) 
RUT 1380.75 (Russell 2000) 
COMP 6738.86 (Nasdaq) 
OEX 1126.64 (S&P 100) 
VIX 21.38 (CBOE)