The stock markets in the United States ended the trading session higher today excluding the Dow Jones Industrial Average (DJIA), down by 0.16% as it was dragged by The Boeing Company (NYSE:BA).
The S&P 500 reached an all-time high and recorded a 0.18% gain while the NASDAQ climbed 40% as technology companies were positively impacted by Apple Inc. (NASDAQ:AAPL). Healthcare stocks also rallied amid the earnings season.
Since the financial crisis, Warren Buffett's Berkshire Hathaway has had significant exposure to financial stocks in its portfolio. Q1 2021 hedge fund letters, conferences and more At the end of March this year, Bank of America accounted for nearly 15% of the conglomerate's vast equity portfolio. Until very recently, Wells Fargo was also a prominent Read More
In a telephone interview with Bloomberg, Russ Koesterich, chief investment strategist at BlackRock, Inc. (NYSE:BLK) commented, “The general tone of earnings has been positive not just on the bottom line but also top-line, and we’ve seen inflation numbers that gave comfort to those who believe the market will be supported by the Fed.”
Yesterday, data showed that the inflation failed to maintain a foothold as companies failed to exercise pricing power due to slowing global demand. A separate report also indicated that the sales of previously owned U.S. homes increased last, a sign that the housing market continues to improve.
In a conference call today, the International Monetary Fund (IMF) stated the possibility that the Federal Reserve would maintain the interest rates at zero at a longer period than anticipated because the inflation is still weak, and slowdown this year delays the recovery of the labor market. The IMF reduced its growth forecast for the United States from 2% to 1.7% this year due to a contraction in the first-quarter.
- Dow Jones Industrial Average (DJIA)- 17,086.89 (-0.16%)
- S&P 500- 1,987.07 (+0.18%)
- NASDAQ- 4,473.70 (+0.40%)
- Russell 2000- 1,158.09 (+0.17%)
- EURO STOXX 50 Price EUR- 3,193.13 (+0.12%)
- FTSE 100 Index- 6,798.15 (+0.04%)
- Deutsche Borse AG German Stock Index DAX- 9,753.56 (+0.20%)
- Nikkei 225- 15,328.56 (-0.10%)
- Hong Kong Hang Seng Index- 23,971.87 (+0.80%)
- Shanghai Shenzhen CSI 300 Index- 2,197.83 (+0.23%)
Stocks in Focus
The stock price of Apple Inc. (NASDAQ:AAPL) increased nearly 3% to $97.19 per share after the tech giant reported earnings that beat the consensus estimates and strong iPhone sales for the third-quarter. Apple reported earnings of $1.28 per share compared with the $1.23 per share estimated by Wall Street analysts. The tech giant sold 35.2 million iPhones, up from 31.2 million units sold in the same period a year ago. CEO Tim Cook said the company experienced strong demand for the iPhone in the BRIC countries.
The Boeing Company (NYSE:BA) declined more than 2% to $126.71 per share despite reporting strong earnings. The aerospace company reported earnings of $2.42 per share, higher than the $1.99 per share consensus estimate for the second-quarter.
Puma Biotechnology Inc (NYSE:PBYI) surged almost 300% to $235.91 per share after the company disclosed that Phase III clinical trial of its experimental drug, PB272, or neratinib blocked the return of breast cancer among women suffering with an early-stage type of the disease.