The markets were sharply higher today as the lack of trade war rhetoric made investors feel tensions were calming. Jobless claims numbers came in at 201,000, which was a downside surprise. The only negative on the day economy-wise was existing home sales, which slid more than expected.
The Dow 30 finally caught up to the other indices, hitting a new, all-time high with gain of 251 points on the day. The S&P 500 added 22 on the day, also closing at a new, record high. The Nasdaq 100 closed higher by 78 thanks big tech and semiconductors.
Sector News
Semiconductors were higher today ahead of an important earnings report from Micron Technologies (NYSE: MU). The sector closed higher by more than 1% on the day as investors felt confident that the space was not slowing down.
Banks continued their follow-through today, officially breaking out of a 5-month range. Investors have been moving money over to this sector this week as interest rates have steadily pushed higher.
Stock News
General Electric (NYSE: GE) shares hovered near lows today as J.P. Morgan lowered their price target to $10 from $11. The analyst report mainly focused on "issues involving turbine installations" as the cause for the price adjustment. Shares have been stuck at lows since March this year.
Darden Restaurants (NYSE: DRI) reported earnings that came in above analysts expectations by 10 cents. The company, which owns brands like Longhorn Steakhouse and Olive Garden, also reported stronger revenue and overall store sales, prompting them to raise their guidance going forward. The stock started the day at new highs, which caused investors to take profits in the short term and ultimately pushed the stock lower on the day.
RedHat (NYSE: RHT) shares suffered a sharp drop today despite reporting earnings that beat expectations. Investors focused on revenue, which came in light, as well as current guidance. Subscription revenue was one of the driving factors behind the miss. Technical traders note that shares are now near 6-month lows.