The markets moved higher yet again today thanks to earnings and a tweet from President Trump saying that his trade talks with China President Xi Jinping went well. The Dow 30 was higher by 264, the S&P 500 gained 28, and the Nasdaq 100 closed higher by 128.
Sector News
Semiconductors were one of the strong sectors today as the tweet from President Trump spurred the China-reliant sector. The semiconductors have now rallied over 12% since hitting a new low just 4 days ago.
Homebuilders enjoyed another strong move off recent lows as money continued to move into that sector. The homebuilders as a whole are now up over 10% since hitting a 52-week low just 4 days ago. The sector is still lower by 20% on the year, however.
Stock News
Shares of Cigna Health (CI ) were higher today as the company reported earnings per share of $3.84, which beat expectations of $3.44 per share. Revenue came in higher as well, as the company enjoyed lower costs for the government health plans. Thanks to this, the company also raised forecasts going forward. Shares broke to new 10-month highs on the news.
Recent IPO Spotify (SPOT ) reported a profit for the previous quarter, surprising Wall Street. Revenue was also a focus as the company announced a beat on that as well. One key metric that Wall Street looks at is the monthly active users, which were higher by 28%. In this market however, valuation remains key and investors are less willing to speculate.
Fitbit (FIT ) was one of the big winners today as the company popped almost 30% on earnings. The company reported a beat by 3 cents along with stronger revenue than expected. Though the company didn't give strong guidance going forward shares were higher on the day, likely due to the high short interest.
