By Michael Wursthorn and Christopher Whittall. Technology companies led a broad upswing in U.S. stocks Tuesday, as investors scooped up shares following recent declines. The Dow Jones Industrial Average rose for a second straight day after the index suffered its biggest two-week decline of the year.
A covered-call option strategy can give you downside protection and higher income, says Ken Roberts of IWC Asset Management. If you invest in dividend stocks, selling covered-call options can increase your income while offering some protection from price declines. Ken Roberts, an investment adviser with IWC Asset Management in Carmel, Calif., uses covered-call strategies with his income-seeking clients, and has provided examples of stocks for which he thinks the strategy is...
US TSYS: BMO's Ian Lyngen said Tsys "traded poorly" Tues against "backdrop of
stronger equity performance that found its inspiration" from various
developments, "not least of which was chatter" on "administration making
progress toward a putting together a tax reform deal. With Cohn as the champion of this round of tax reforms, it will undoubtedly receive a great deal of
attention by both the mkt and the media: recall that Trump has tied Cohn's
potential nomination as the Fed Chrmn to the success of his tax proposal" but "political calculus may have changed somewhat in light" of "recent departures
from the Trump camp and Cohn's decision to stay." - He added talk on "compromises being sought to fund tax reforms" are "very
familiar: capping the mortgage interest deduction, ending the ability to deduct state and local taxes, and cutting the business interest expense deductions.
These potential rev. sources have all been on the chopping block in the past" but "net result has always been one of political infeasibility. That isn't to
suggest that nothing has changed" in "political landscape and the ability to
find common ground" but needs "more buy-in" vs before for "tangible progress."
By Michael Wursthorn and Christopher Whittall. Technology companies led a broad upswing in U.S. stocks Tuesday, as investors scooped up shares following recent declines. The Dow Jones Industrial Average rose for a second straight day after the index suffered its biggest two-week decline of the year.
White House, lawmakers make progress toward tax overhaul: report. Treasury yields rose on Tuesday trade as bond investors shed government paper and other assets perceived as havens in favor of stocks after a news report said the White House and Congress had made progress in coming up with a more concrete plan for a tax overhaul. The 10- year Treasury yield rose 3.3 basis points to 2.215%, while the 30- year bond's yield added 2.4 basis points to 2.789%.
White House, lawmakers make progress toward tax overhaul: report. Treasury yields rose on Tuesday trade as bond investors shed government paper and other assets perceived as havens in favor of stocks after a news report said the White House and Congress had made progress in coming up with a more concrete plan for a tax overhaul. The 10- year Treasury yield rose 3.3 basis points to 2.215%, while the 30- year bond's yield added 2.4 basis points to 2.789%.
US TSYS SUMMARY: US Treasuries prices end lower in rangebound Tuesday after late
ebb and two-way muted flows and stronger U.S. stocks indexes and firmer European stocks. Tsys had mild dip buying after light selling on firmer 31.8 August Phil
Fed nonmanufctrng activity index. Aug Richmond Fed mfrg index steady: 14. - Sept/Dec Tsy futures roll: Sale of 11,700 TYU/TYZ at 9.75 and 6,900 TUU/TUZ at
3+; total 5Y spread volume was over 164,000 so far from 9.0-9.75. - US SWAPS: Spds tighter, spd curve steeper after prior flattening; afternoon
front end 2way flow, better 5Y receivers,light deal-tied flows. - Tsy $30B 4-wk bill sale tailed: above-avg 74.5% dealers, 20.2% indirect, small
5.3% directs. World Bk did $3B 3Y:MS-4; Swedish Export Credit $1B global 5Y:MS+20.
- EURODLR FUTRS: End weaker; sale of 10,000 Dec'17, 98.57; followed buy of 9,200
Red Mar'19 at 98.27. MBS: firmer. TIPS outperformed nominal Tsys. O/N REPO: Tsy
2Y, 5Y, 10Y tight. - EGBs: Italian BTPs slid, big 5Y BTPs seller, maybe hedge fund. TSYS 3PM ET: 2Y
1.326%, 3Y 1.473%, 5Y 1.785%, 7Y 2.030%, 10Y 2.215% and 30Y 2.788%.
US TSY FUTURES CLOSE: Weaker by the bell, at/near late session lows with the
long end underperforming. Rather muted volume propped up by decent Sep/Dec roll volume, particularly in 5yr futures. Current futures levels:
* Sep Ultra bonds down 26/32 at 167-31 (167-29L/168-26H) * Sep 30-yr Bond futures down 19/32 at 155-18 (155-17L/156-07H)
* Sep 10-yr futures down 9.5/64 at 126-17.5 (126-17.5L/126-28H) * Sep 5-yr futures down 5.75/32 at 118-13.75 (118-13.75L/118-19.5H)
* Sep 2-yr futures down 1.5/32 at 108-07 (108-07L/108-08.5H)
US TSYS: Treasuries drifting lower as US stock indexes remain higher, in muted
two-way flows, late light sales and 5/30Y flatteners, but 2/10Y, 2/7Y and 2/5Y curve steepeners. The Nasdaq stock index meanwhile is up 1.31%.
News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.
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