Republicans took control of Congress on Tuesday in an Election day that one Democratic strategist characterized as a "F---ing. Bloodbath." Markets weren't too fazed. In fact, the Dow actually hit a new high.
First, the scoreboard:
Dow: 17,484.5, +100.6, (+0.5%)
S&P 500: 2,023.5, +11.4, (+0.5%)
Nasdaq: 4,620.7, -2.9, (-0.0%)
And now, the top stories on Tuesday:
1. "It doesn't get old, right?" NYSE floor governor Rich Barry said. "The Dow hit another all-time high this morning and the S&P 500 came within about a point from doing the same." The Dow had its 20th record close of the year.
2. Today's rally comes amid encouraging data on jobs ahead of Friday's official jobs report. According to ADP, US companies added 230,000 private jobs in October. This was up from 225,000 in September, and it was stronger than the 220,000 expected by economists. "The job market is steadily picking up pace," Moody's Analytics' Mark Zandi noted. "Job growth is strong and broad-based across industries and company sizes. At this pace of job growth unemployment and underemployment is quickly declining. The job market will soon be tight enough to support a meaningful acceleration in wage growth."
3. The ISM services index slipped to 57.1 in October, which was a bit lower than the 58.0 level expected. Still, the number still reflects a healthy pace of growth. What really raised eyebrows was the employment sub-index, which jumped 1.1 points to 59.6, the highest level since August 2005. "This appears to be consistent with payroll growth of 450,000 per month, which is not going to happen," Pantheon Macroeconomics' Ian Shepherdson said. Shepherdson tweaked his model and estimated that the ISM report actually signaled about 300,000 new jobs in October, which is way ahead of the 225,000 forecast by economists surveyed by Bloomberg.
4. Gold prices settled at $1.145.70, down 1.9% for the day. The yellow metal got as low as $1.137.10, its lowest level since April 2010. This came as the dollar strengthened. The DXY climbed 0.5%.
5. Meanwhile, WTI crude oil prices jumped 2% after a report showing inventories climbed by less than expected. The EIA reported oil stockpiles increased by just 460,000 barrels last week. Analysts surveyed by Bloomberg were looking for 2.35 million barrels.
(Newser) - A 9-year-old boy reported missing in September has been found safe—on a tiny South Pacific island more than 7,000 miles from his home in Pennsylvania. Billy Hanson's mom reported the boy missing after he didn't come back from a visit with his father in Seattle, so... More »
(Newser) - Election night was a win for Republicans: Senate Minority Leader Mitch McConnell started things off by defeating Democrat Alison Lundergan Grimes in Kentucky, reports the AP . Hours later, McConnell learned he will be changing his title to majority leader: Republicans needed a net gain of six seats to take the... More »
(Newser) - For the first time ever, a member of the Bush family won his very first election . George P. Bush, Jeb Bush's son , was elected land commissioner in Texas last night, CBS Houston reports. "I could not be prouder of George. He ran a great campaign, built his own... More »
(Newser) - "Drop that plate right now" was the command hurled at 90-year-old Arnold Abbott on Sunday before he was charged with violating Florida law. His crime: feeding Fort Lauderdale's homeless. Abbott and two pastors, Dwayne Black and Mark Sims, were cited for disobeying a new city ordinance that effectively... More »
(Newser) - Marijuana legalization advocates are on a roll: Ballot measures loosening pot laws have passed in Alaska , Oregon, and Washington, DC. The DC law—which could still be blocked by Congress—will allow residents and visitors to grow and possess marijuana but not sell it, reports the Washington Post , while the... More »
(Newser) - Jillian McCabe, the Oregon mother accused of throwing her autistic 6-year-old son London off a bridge , was devoted to the boy but went into a downward spiral after her husband developed multiple sclerosis and her father died, relatives tell NBC . She detailed her struggles and the ups and downs of... More »