Dow, S&P 500 close at records as earnings week kicks off
S E E D E D C O N T E N T
The Dow Industrials and S&P 500 closed at record highs on Monday, as earnings season kicked in to high gear in one of the heaviest reporting weeks of the quarter with bellwethers in multiple sectors poised to announce results.
While the Dow and S&P hit new highs, the Nasdaq outperformed on the day, buoyed by gains in Tesla and PayPal, and the tech-heavy index stands less than 1 percent away from a record.
Tesla Inc jumped to its own new high and breached $1 trillion in market capitalization, after car rental firm Hertz placed an order for 100,000 Tesla cars, while Morgan Stanley raised its price target on the stock to $1,200 from $900 per share.
“Tesla, there is a lot of the chatter out there today and Hertz placing a big order has created some excitement,” said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.
Tesla, which has risen in nine of the past ten sessions and is up more than 28 percent for the month, provided the biggest boost to the S&P 500 and the Nasdaq. Also helping to lift the two indexes was PayPal Inc, which gained after the payments company scrapped plans to buy the digital pinboard site Pinterest Inc for as much as $45bn. Shares of Pinterest slumped.
The Dow Jones Industrial Average rose 0.18 percent, to 35,741.15, the S&P 500 gained 0.47 percent, to 4,566.48 and the Nasdaq Composite added 0.9 percent to end the session at 15,226.71.
United States President Joe Biden on Monday held out hope for an agreement on his major spending plans before attending a climate summit in Scotland, while the White House said Democratic negotiators were closing in on a deal.
The majority of the 11 major S&P sectors advanced, with energy and consumer discretionary shares the best performing, as energy names received a boost from another rise in oil prices to multiyear highs on tight supply.
Shares of Facebook Inc were up ahead of its quarterly results due after market close. Investors fear that like Snap Inc, the social media giant’s ad revenue could face the brunt of Apple Inc’s privacy changes.
Other mega-cap names scheduled to report this week include Apple, Microsoft Corp and Google parent Alphabet Inc .
This week, 165 components of the S&P 500 are expected to post quarterly results, according to Refinitiv data. Analysts expect earnings at S&P 500 companies to grow 34.8 percent year-on-year for the third quarter.
Investors are also assessing how companies are navigating supply-chain bottlenecks, labor shortages and inflationary pressures to sustain growth. Of the 119 companies in the S&P 500 that have reported earnings through Monday morning, 83.2 percent have topped analysts’ expectations.
“We are obviously in the heart of earnings season here, and that is a lot of what is going on and earnings are coming in better than expected and there was real fear we would see some bad earnings reports because of supply-chain issues and reduced outlooks, again because of supply-chain issues. So far, so good,” said Ghriskey.
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This only mattered when Donald ballyhooed it.
It's about the only good news on the financial front right now. Still riding the waves of previous years policy ...... 2022 will be much different when Biden policy really starts to kick in.
Poor Joe and his sycophants will have nowhere to hide then
How old are you that you are still making predictions?
How old are you to still be playing the what aboutism card?
When Trump was in charge Obama tried taking all of the credit for the Trump economy. No matter how good things were it was always because of what Obama did.
I will agree with Obama on one thing; Biden is a continuation of his policies- and the economic fallout that is coming from it. High unemployment with millions of jobs that need to be filled; hyper inflation; high gas prices; Biden begging OPEC and Russia to increase oil production; unsustainable social programs; and illegal immigration taxing our infrastructure. Definitely all part of the Obama plan.
Lol ..... what does how old i am have to do with anything?
IF you have a retirement account, i'd advise you to remain heavily invested in equities for as long as Biden is POTUS. You seem very happy with "his" market, so that is what you should do.
Good luck and happy earnings season!
Where did I say that? As to a retirement account, I don't need one and the likelihood of my following investment advice from an avatar is nil.
Ah, you've been reading Jack Dorsey's scary stuff.
Where did i say that you did?
Ah yes, on a government or union pension dole eh?
That would explain a lot.
I also run a whore house in my bedroom, a casino in my basement, a bar in my backyard and the local cops sell my hydroponic yield. Along with income from 2 rental units + O.A.S., Life is good! A union pension I would not turn down, alas I've been self employed for 50 of my 70 years and so diligently contributed to my O.A.S. What with homes selling for 1.2million on my street, I fear no hyper-nonsense.
From where I quoted you.
Wow ... a 70 years old, pimp, pit boss, bar tender, farmer and slum lord.
When pray tell do you find time to pontificate on NT?
Hard to believe you have time being such a renaissance man/woman.
I never said that you did, read it again
Not bad eh?
Ya you betcha!
"Seem" is not the same thing as "are" now is it ......
They're close enough in this case, but seeing as you wish to belabor the point, where did I suggest that I seemed anything?
To continue to belabor the point you seem to want to belabor, i'm not saying they "seem" close enough because they "are" not iin this case.
Not to any American definition of those words that is. Maybe Canadian definitions "are" different than the rest of the world. In this case, it wouldn't surprise me.