Stocks climbed higher on Tuesday as the second-quarter earnings season delighted investors, helping to build on gains from the prior session. The Dow Jones Industrial Average rose over 260 points, while the S&P 500 Index and Nasdaq Composite advanced 1.2% and 1.6%, respectively.
Here's how the market settled on Tuesday:
S&P 500 Index
Dow Jones Industrial Average
Nasdaq Composite Index
On the Earnings Front:
United Parcel Service
General Motors
"Our consumer has been remarkably resilient in this period of higher interest rates," CFO Paul Jacobson said during the company's earnings call. "We think in this environment that we can continue to perform."
Spotify
PepsiCo
"As we look ahead, we continue to expect a normalization and moderation in category growth rates versus the last few years," Pepsi executives said in a statement. "We also continue to expect that consumer will remain watchful with their budgets and choiceful with their purchases."
JetBlue Airways
"As we look to the full year, significant elevated capacity in our Latin [America] region, which represents a large portion of JetBlue's network, will likely continue to pressure revenue and we expect a setback in our expectations for the full year," CEO Joanna Geraghty said in an earnings release. "We have full confidence that continuing to take action on our refocused standalone strategy is the right path forward to ultimately return to profitability again."
Novartis
In Economic News:
U.S. manufacturing and services activity reached multi-month lows in April, according to a reported on Tuesday, with both sectors showing contraction as a potential slowdown looms over the the economy.
The S&P Global Flash U.S. Composite PMI showed a 49.9 reading for manufacturing, down from 51.9 in March. For services, the index came in at 50.9, down from 51 last month. Both readings came in below Wall Street expectations and reading below the neutral level of 50 indicate contraction.
Beneath the headline, new orders also fell for the first time in six months. "Companies responded by scaling back employment for the first time in almost four years, with business confidence also wanning to the lowest since last November," the S&P report said.
New home sales rose in March at a faster-than-expected pace as mortgage rates declined, the Commerce Department reported Tuesday. Sales of single-family homes totaled 693,000 for the month, rising 8.8% month-over-month and coming in higher than February's downwardly revised print of 637,000. The median sales price also rose to $430,700, its highest level since August 2023, after falling at the start of the year.