--- title: "Stock Market Today: January 24, 2020" description: Stocks opened higher this morning, but sank deep into negative territory in the afternoon. The averages attempted to recover some ground late in the session, but with limited success. Earlier today sentiment seemed somewhat optimistic. However, the mood turned apprehensive, as traders worried that a deadly virus in China might be difficult to contain. Of note, the virus has made its way to a number of countries, and a second person in the U.S. was recently diagnosed with the illness. image: https://investor.valueline.com/hubfs/social-suggested-images/iStock_000006488152XSmall-438.jpg --- [![The Value Line Blog](https://investor.valueline.com/hubfs/VL%20Blog%20Images/vl_blog_header.png)](https://investor.valueline.com/blog) [Stock Market Today](https://investor.valueline.com/blog/topic/stock-market-today) # Stock Market Today: January 24, 2020 January 24, 2020 ### After The Close Stocks opened higher this morning, but sank deep into negative territory in the afternoon. The averages attempted to recover some ground late in the session, but with limited success. Earlier today sentiment seemed somewhat optimistic. However, the mood turned apprehensive, as traders worried that a deadly virus in China might be difficult to contain. Of note, the virus has made its way to a number of countries, and a second person in the U.S. was recently diagnosed with the illness. Investors seem to fear that a wider outbreak might put a damper on global business. At the close of the day, the Dow Jones Industrial Average was down about 170 points; the broader S&P 500 Index was off 30 points, and the NASDAQ was lower by 88 points. Market breadth was decidedly negative, as losers outpaced winners by a wide margin on the NYSE. Most of the major market sectors lost ground, with pronounced weakness in the services and healthcare issues. Stocks related to the travel and leisure industries moved lower on health concerns. In contrast, the utilities managed to outperform. Meanwhile, it was a light day for economic news, with no major reports released. The lack of news probably did not help matters, as it left investors looking elsewhere for information. In corporate news, the fourth-quarter earnings season continues. In the technology arena, shares of** Intel **([INTC](https://research.valueline.com/research#sym=INTC&list=dow30&sec=company) – [Free Intel Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20191227_VLIS_INTC_2851_01-5P2CAAITLAVJAGHDH29F73V6U1&symbol=INTC)) surged today, after the chip giant posted a better-than-anticipated quarterly report, and provided [an upbeat outlook](https://www.valueline.com/Stocks/Highlights/Dow_30_Earnings__Intel_Corp__Fourth_Quarter_2019.aspx). In the financial arena, shares of **American Express **([AXP](https://research.valueline.com/research#sym=AXP&list=dow30&sec=company) – [Free American Express Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20191108_VLIS_AXP_66_01-6PR3DKIC6HR7PAK0DKAG3RDPGN&symbol=AXP)) moved up in response to [a solid report](https://www.valueline.com/Stocks/Highlights/Dow_30_Earnings__American_Express_Fourth_Quarter_2019.aspx). However, things did not go as well for **Discover Financial **([DFS](https://research.valueline.com/research#sec=company&sym=DFS)), as investors had concerns about rising costs at that company. Technically, stocks made solid progress during the first weeks of 2020. However, the market started to run into some resistance over the past few days, and gains became harder to achieve. Today, stocks sold off more dramatically. While the health-related developments in China are of some concern, it is also possible that the bulls have needed a rest. – Adam Rosner *At the time of this article’s writing, the author did not have positions in any of the companies mentioned.* ### **Before The Bell** The profit takers descended upon Wall Street yesterday morning in a rare display of stock market weakness. On point, in minutes after the open, the 30-stock Dow Jones Industrial Average had fallen some 200 points. Several factors were at play and likely were responsible for the initial retreat. First, earnings continue to be reported and in the case of a pair of large Dow names, the reception was not positive, with shares of both **Travelers** ([TRV ](https://research.valueline.com/research#sec=company&sym=TRV)– [Free Travelers Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20191206_VLIS_TRV_3600_01-2V74LC6SCU3TH0OSUDROEIU6KV&symbol=TRV)) and **Procter & Gamble **([PG ](https://research.valueline.com/research#sec=company&sym=PG)– [Free P&G Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20190621_VLIS_PG_2211_01-70S4QV6UP11AN4OOA8VBJHUOH0&symbol=PG)) giving ground. In the case of the former case, the insurer inked higher earnings, but issued warnings going forward. The latter fell less sharply on its results. One issue that did not fall yesterday morning was the recently beleaguered aerospace giant **Boeing** ([BA ](https://research.valueline.com/research#sec=company&sym=BA)– [Free Boeing Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20191206_VLIS_BA_986_01-76FQNA9ANSNV0P5CV64FV0NF5Q&symbol=BA)). That stock, a casualty of the grounding of its troubled 737 MAX 8 airliner, rebounded some 2% after having descended sharply in recent sessions. But it was not just earnings that clipped the wings of the bulls; it also were growing fears of the coronavirus starting to spread. On Tuesday, such concerns had caused a late retreat in the equity market, sending the Dow down 166 points. Then, after some equilibrium had returned on Wednesday, equities retreated again yesterday morning. Bank stocks also fell as did Treasury note yields.   However, after that brief, but sharp drop, stocks recovered between 10:00 and 11:00, but fell back subsequently to session lows by late in the morning before stabilizing as the afternoon began. Still, as we closed in on 1:00 PM (EST), the blue chips were still off some 125 points, while lesser setbacks were taking place on the S&P 500 and the NASDAQ. Further gains in some chip stocks were muting the drop somewhat, as earnings season remained mostly favorable. The market then improved notably in the middle of the afternoon, as the NASDAQ and the S&P 500 turned positive, while the Dow's loss was almost erased as the final hour began.   The main reason for the late turnaround was comments from the World Health Organization (WHO) that the coronavirus outbreak did not look to be the start of a pandemic. To date, China has reported about 600 cases of the flue-like virus, with 17 fatalities resulting. Earlier, there had been fears of a more widespread breakout. Armed with the WHO conclusion, stocks started to pare their losses and largely turn positive. The fact that about 70% of the S&P 500 companies that have reported quarterly earnings this far have beaten consensus expectations did not hurt either. The market would continue to make strides well into the final trading hour, with the Dow threatening to join the other composites in the black as we headed toward the finish line. Once again, technology led the comeback as more earnings were awaited after the close. Also, as before, there was weakness in the basic materials group, with beleaguered steelmaking giant **U.S. Steel **([X](https://research.valueline.com/research#sec=company&sym=X)) falling to another 52-week low of less than $9.50 a share at the day's nadir on profitability and financial concerns. As the bell sounded, only the Dow was lower, falling 26 points, while gaining and losing stocks were about even. Then, after the close, recently strong performing **Intel** ([INTC ](https://research.valueline.com/research#sec=company&sym=INTC)– [Free Intel Stock Report](https://research.valueline.com/api/report?documentID=2185-VL_20191227_VLIS_INTC_2851_01-5P2CAAITLAVJAGHDH29F73V6U1&symbol=INTC)), a Dow component, reported record earnings and the stock jumped about 6% in after-hours trading to a multi-year high. The shares, meantime, are expected to carry that strength into the morning session, when the stock market, overall, is expected to commence the final trading day of the week with additional gains, sparked, as well, by the WHO's position that the coronavirus is not yet a global crisis.   – Harvey S. Katz, CFA *At the time of this article’s writing, the author held positions in one or more of the companies mentioned.* [![Register now for our free One Stock to Buy webinar](https://no-cache.hubspot.com/cta/default/2532383/5a80130b-f0ce-4bd8-acbd-f077f2232ec5.png)](https://cta-redirect.hubspot.com/cta/redirect/2532383/5a80130b-f0ce-4bd8-acbd-f077f2232ec5) ### Popular Posts Search Search Blog ### Topics - [Investing 101 (2)](https://investor.valueline.com/blog/topic/investing-101) - [Market Commentary (37)](https://investor.valueline.com/blog/topic/market-commentary) - [Stock Highlights (390)](https://investor.valueline.com/blog/topic/stock-highlights) - [Stock Market Today (2071)](https://investor.valueline.com/blog/topic/stock-market-today) Copyright 2026 Value Line, Inc. All Rights Reserved. Factual material is obtained from sources believed to be reliable and is provided without warranties of any kind. 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