NASDAQ Hits 10 Straight Winning Days!
Wednesday’s rally had propelled the large Wall Street indexes up to new historic highs, leaving stocks in short-term overbought territory, and so it was no surprise that the market chose to take a breather and trade sideways yesterday.
Retail and apparel companies plunged after the Sears department store (SHLD) announced that it would be selling its Kenmore appliance division to Amazon (AMZN) and that it will be integrating Amazon’s digital helper, Alexa into its smart devices. SHLD, in response, soared 10.6%, while AMZN ended trading up 0.2%.
Other retailers’ stocks fell on the day in response. The do-it-yourself powerhouse, Home Depot (HD) fell 4.1%, making it the biggest weight on the S&P 500. Home Depot’s competitors, LOW, WHR, and BBY likewise each fell between 3.9% and 5.6%.
Earnings reports continued to stream into Wall Street yesterday. Overall, the results have been good, leading analysts on Wall Street to raise their Q2 earnings growth forecast to 8.6% and their revenue growth forecast to 4.6%.
Daily Summary: The Dow Jones recorded light losses of 0.13%, the S&P 500 ending negligibly off by 0.02% and the NASDAQ tacking on 0.08% and stretching its winning streak to 10, a feat not seen since February 2015.
About 5.92 billion shares traded on U.S. exchanges, compared to the 6.35 billion average over the last 20 trading days.
Friday: General Electric (GE) and Honeywell (HON) will be reporting before trading opens on Friday. Investors will continue to follow the NASDAQ and see whether it has the drive to stretch its winning streak to 11.
Microsoft (MSFT) is expected to be a factor in today’s trading, after falling on the heels of its earnings release after closing yesterday. The kneejerk reaction saw MSFT tumble 4%, but by the time late trading closed, its losses narrowed to just 0.3%; the software giant beat expectations on the top and bottom line.
Friday’s Hot Stocks: SKX, V, EBAY, COF, HON
Have a great trading day!
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|Wednesday||10:30||Crude Oil Inventories||–||Low|
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