New of the Senate passing the tax reform bill was the big news today which sent banking stocks and the markets sharply higher to start. The Dow 30 was finished higher by 58, but the Nasdaq 100 sold off 72, and the S&P 500 lost 2 going into the close. Going forward expect tax reform chatter to be a driving focus as scheduled news is light for tomorrow.
Some of the banking names that popped to new highs on the tax reform news were Bank of America (NYSE: BAC) which added 3.42% and is now higher by over 6% in just the last 5 trading days. JPMorgan (NYSE: JPM) and Morgan Stanley (NYSE: MS) also popped to new highs on the news, gaining 2.06%, and 1.41% respectively. The sector as a whole (NYSE: XLF) is now higher by over 7% in just the last 5 trading days.
Aetna (NYSE: AET) also stole the headlines today as CVS (NYSE: CVS) officially announced their plans to buy out the health insurer for about $69 billion in cash and stock, or about $207 per share. Antitrust scrutiny will be the focus from here given the recent administration's games on the AT&T (NYSE: T) and Time Warner (NYSE: TWX) deal.
Blue Apron (NASDAQ: APRN) shares blasted off 16.41% today following an upgrade to equal weight from underweight at Barclays. The analyst comments revealed "valuation and the promotion of Brad Dickerson to CEO" as reasons for the bullish call on the troubled meal-kit delivery service. Despite today's move, shares are still lower by over 60% since the IPO.