U.S. stocks staged a broad rally,in what was a choppy session early on, as investors digested quarterly earnings during what is the season’s second busiest week for reports. The results are helping offset the wrangling in Washington after lawmakers missed the chance to extend the debt ceiling.
|I:DJI||DOW JONES AVERAGES||35116.4||+278.24||+0.80%|
|I:COMP||NASDAQ COMPOSITE INDEX||14761.294551||+80.23||+0.55%|
The Dow Jones Industrial Average rallied over 279 points or 0.8%, while the S&P 500 rose 0.82% closing at a fresh record with healthcare, energy, and industrials among the strongest performers. The Nasdaq Composite closed 0.55% higher.
Consumer-related companies were in focus as investors take in positive results from athletic retail giant Under Armour, which raised its full-year outlook after revenue rose 35% to $1.3 billion.
|UA||UNDER ARMOUR, INC.||19.22||+1.12||+6.19%|
“With a solid balance sheet and well-managed inventory, we’re confident in our ability to drive well through 2021 as we get back on offense and make measured progress to returning to sustainable, profitable growth over the long-term,” said Under Armour President and CEO Patrik Frisk.
|CLX||THE CLOROX CO.||164.06||-17.14||-9.46%|
Clorox shares were under pressure after the consumer giant signaled future sales will fall between 2% to 6% as the pandemic rush to load up on wipes and disinfectants normalizes.
In energy, BP pulled in $2.8 billion in profits prompting the oil giant to boost its dividend and buyback plan as oil continues to climb.
In deal news, PepsiCo is selling a portion of its juice portfolio, which includes Tropicana and Naked, to private equity firm PAI Partners for $3.3 billion while retaining a 39% noncontrolling interest in a newly formed joint venture.
Robinhood also soared past its IPO price of $38 per share despite a rocky debut and without concrete news on Tuesday.
|HOOD||ROBINHOOD MARKETS, INC.||46.80||+9.12||+24.20%|
PEPSI SELLING JUICE PORTFOLIO
China stocks, including Tencent, fell after the country’s regulator denounced online gaming according to reports. Further evidence the government is wading deeper into oversight of publically traded stocks.
|TME||TENCENT MUSIC ENTERTAINMENT GROUP||10.55||-0.33||-3.03%|
In commodities, oil slipped 0.91% to $70.61 per barrel, while gold traded down 0.47% to $1,813 an ounce.
In Asia, equities fell across the board with the Nikkei 225 Index down 0.50%, while the Hang Seng Index slipped 0.16% and the Shanghai Composite Index fell 0.47%.