Banking and tech stocks take the S&P 500 to new heights
- Morgan Stanley jumps on surprise dividend hike
- Textron wins as Morgan Stanley moves to ‘overweight’
- Indices: Dow up 0.24%, S&P up 0.12%, Nasdaq stable
June 29 (Reuters) – The S&P 500 hit a record high for the fourth session in a row on Tuesday, helped by shares of tech companies and heavy banks, as an optimistic report on consumer confidence set a positive tone to key employment data at the end of the week.
U.S. consumer confidence rose in June to its highest level since the start of the COVID-19 pandemic over a year ago, bolstering expectations of strong economic growth in the second quarter. Read more
Market participants are closely watching Friday’s non-farm payroll report, which could pave the way for the U.S. Federal Reserve’s policy stance on a fair labor market recovery.
âThe economy is booming, the stock market is going up, so it makes perfect sense to me that the consumer confidence numbers are exploding,â said Mike Zigmont, head of trade and research at Harvest Volatility Management in New York.
“If there are a good number of nonfarm wages this month and we start to move up on the unemployment rate, it changes the whole story of the Fed.”
Eight of the top 11 S&P sectors grew, with technology (.SPLRCT), energy (.SPNY) and industry (.SPLRCI) among the top winners.
Morgan Stanley (MS.N) jumped 4.1% after doubling its dividend to 70 cents per share in the third quarter. JPMorgan Chase & Co (JPM.N), Bank of America Corp (BAC.N) and Goldman Sachs Group (GS.N) have also increased their payments. Read more
All three of Wall Street’s major indices are set for their fifth straight quarter of gains, boosted by ultra-accommodative monetary policy, a rebounding US economy and robust corporate earnings.
With the S&P 500 Index having climbed nearly 14% in the first half of the year, attention will turn to the second quarter earnings season, starting in July, which could decide the way forward for the next one. stock market stage.
As of 11:57 a.m. ET, the Dow Jones Industrial Average (.DJI) was up 83.22 points, or 0.24%, to 34,366.49 and the S&P 500 (.SPX) was up 5.03 points, or 0.12%, to 4,295.64. The Nasdaq Composite (.IXIC) lost 2.04 points, or 0.01%, to 14,498.47 after hitting an all-time high for the sixth consecutive session.
Moderna Inc (MRNA.O) jumped 5.43% to record high after drugmaker’s COVID-19 vaccine showed promise against Delta variant first identified in India in lab study , with a modest decrease in response compared to the original strain. Read more
Facebook Inc (FB.O) plunged a day after crossing a $ 1,000 billion market value and joined Apple (AAPL.O), Microsoft (MSFT.O), Saudi Aramco, Amazon (AMZN.O) and Alphabet , owner of Google. (GOOGL.O) which together now represent 10% of global equities. Read more
Textron (TXT.N) rose 1.5% after Morgan Stanley upgraded the business jetmaker’s shares to “overweight” to “equal weight in hopes of a stronger recovery “.
The advancing issues outnumbered the declines by a 1.25-to-1 ratio on the NYSE. The problems down outnumbered the advances for a 1.25-to-1 ratio on the Nasdaq.
The S&P Index recorded 33 new 52-week highs and no new lows, while the Nasdaq recorded 76 new highs and 25 new lows.
Report by Devik Jain and Medha Singh in Bengaluru; Editing by Maju Samuel
Our Standards: Thomson Reuters Trust Principles.