The markets were positive to start the week as earnings overall have been slightly better than expected, which has led investors to respond more bullishly to these earnings beats. The Dow 30 was higher by 175, the S&P 500 added 18, and the Nasdaq 100 closed higher by 83, with tech leading the way today.
Sector News
Tech stocks were higher ahead of Alphabet's earnings report, which brings the total move since hitting a low back in December to about 18%. Technical traders note the 200-day moving average overhead, which is less than 3% away.
Regional banks were also strong today as they officially reversed all of last Thursday's decline. Since hitting a low back in December, the regional banks are now higher by over 20%.
Retail stocks reversed course today as well. The retail sector erased all of Friday's losses, though technical traders note the consolidation near highs that has been in place since the beginning of the year.
Stock News
Papa John's (NASDAQ: PZZA) shares shot higher today, completely reversing all of Friday's declines as it was revealed that activist investment firm Starboard Value has taken a $200 million position in the company. In addition to this, the CEO of Starboard has been appointed chairman.
Clorox (NYSE: CLX) shares were also a strong performer today as the company reported earnings that were much better than hoped, plus revenue that was in line with expectations. Profit margins were the focus as investors pushed shares to new highs for the year.
Maxwell Technologies (NASDAQ: MXWL) shares soared today as Tesla (NASDAQ: TSLA) will acquire the company for $218 million in an all cash deal. Tesla is interested in Maxwell Technologies for its current capabilities to help batteries last longer, which could increase the driving range of Tesla's cars.