The markets recovered some of yesterday's declines thanks to a small rebound in the tech names. The Dow 30 was higher on the day by 28, the S&P 500 added 5, and the Nasdaq 100 led the pack with a gain of 29.
Sector News:
The energy sector (XLE ) was the strongest S&P sector today thanks to a 3.6% gain in the price of oil (USO ). Oil surged higher today on an announcement from the US State Department that all companies will need to cut imports of Iranian oil by November this year. This news, along with continued concerns about production issues in Venezuela, have many analysts predicting a shortage of oil.
Technology (XLK ) recovered some of yesterday's declines, adding 0.5%. Yesterday's confusion over restrictions on Chinese investments in technology companies sent the bulk of the sector lower. While there is still no solution to the trade agreement, it seems that the investment restriction confusion has been cleared up.
Stock News:
General Electric (GE ) made headlines today as the company announced it would spin off its exposure to health care, as well as sell its position in Baker Hughes. The CEO commented that this was part of their restructuring plan and made sense as technology overlaps in these two holdings. They also said that they would maintain its dividend until the transactions are complete, which should be in the next 2 to 3 years.
Lennar (LEN ) shares popped 5%, trading off their lows as the home builder announced earnings that beat Wall Street's expectations. New home orders are 62% higher compared to last year and investors liked that home prices have increased 10%. Shares are still down around 20% on the year.
Recent IPO Spotify (SPOT ) shares were higher by 3.5% today as Barclays initiated coverage on the stock with an "overweight" rating. The analyst firm says that the streaming music company shows ability to innovate and create great user experiences. The company currently operates at a $1.5 billion loss yearly.