US close: Wall Street continues to ride tax reform optimism
Wall Street continued to push higher on Thursday, amid greater optimism over the likelihood of US tax reforms and the potential impact they might have on stocks.
Dow Jones I.A.
39,807.37
04:30 15/10/20
Nasdaq 100
18,254.69
12:15 28/03/24
The Dow Jones Industrial Average finished up 1.39% at 24,272.35 and the S&P 500 added 0.82% to 2,647.58, with the Nasdaq 100 ending the session 0.86% firmer at 6,365.56.
Investors spent much of the day waiting for a final vote on the Republicans' tax bill, which could take place later on Thursday evening.
“The Senate is on track to pass its version of tax reform later today or Friday,” noted economists at Oxford Economics.
“The next step would be to reconcile differences with the House version passed earlier this month.
“Tax reform has gained momentum and we think the odds that legislation will pass before year end have increased to 60-70%.”
The Oxford Economics team did not one possible wrinkle being that at least one key Republican vote could hinge on the passage of legislation to shore up the Affordable Care Act.
On the energy front, Brent crude oil futures were 0.72% higher at $63.57 a barrel as OPEC members agreed on maintaining their current reduced output until the end of 2018.
“Wednesday’s tech selloff is doing little to weigh on risk appetite ahead of the open on Thursday, with futures on all three major indices around a third of a percentage point higher, tracking broad gains in Europe,” noted Oanda analyst Craig Erlam on the day’s earlier movements.
"With US indices trading around record highs it seems investors are currently willing to shrug off Wednesday’s declines some of the biggest tech names, putting it down to profit taking rather than a sign of any underlying concerns given the already extended levels.
“With plenty of economic data to come today including income, spending and inflation - the Fed’s preferred measure - as well as appearances from Federal Reserve officials, this positive risk appetite may well be put to the test at times.”
In corporate news, Juniper Networks was sharply lower, falling 5.93% after Finnish network equipment maker Nokia said it was not in talks about buying its California-based rival.
Elsewhere, Sears Holdings shares were in focus, falling 3.09% after the ailing department store chain reported a narrowing of fiscal third-quarter losses.
Dow Jones - Risers
Goldman Sachs Group Inc. (GS) $247.64 3.44%
Boeing Co. (BA) $276.80 3.29%
United Technologies Corp. (UTX) $121.45 2.80%
American Express Co. (AXP) $97.71 2.55%
Visa Inc. (V) $112.59 2.49%
Unitedhealth Group Inc. (UNH) $228.15 2.35%
Chevron Corp. (CVX) $118.99 2.18%
3M Co. (MMM) $243.11 2.16%
Intel Corp. (INTC) $44.84 2.03%
Verizon Communications Inc. (VZ) $50.89 1.98%
Dow Jones - Fallers
General Electric Co. (GE) $18.29 -0.65%
Cisco Systems Inc. (CSCO) $37.30 -0.48%
Wal-Mart Stores Inc. (WMT) $97.25 -0.34%
Johnson & Johnson (JNJ) $139.31 -0.34%
Merck & Co. Inc. (MRK) $55.27 -0.16%
Nike Inc. (NKE) $60.42 0.10%
Pfizer Inc. (PFE) $36.26 0.14%
Coca-Cola Co. (KO) $45.77 0.62%
Procter & Gamble Co. (PG) $89.99 0.68%
JP Morgan Chase & Co. (JPM) $104.52 0.76%
S&P 500 - Risers
Advance Auto Parts (AAP) $101.02 8.82%
Humana Inc. (HUM) $260.86 6.81%
L Brands Inc (LB) $56.07 6.76%
CenturyLink Inc. (CTL) $14.59 6.57%
Chipotle Mexican Grill Inc. (CMG) $304.39 6.48%
Kroger Co. (KR) $25.86 6.07%
Alliance Data Systems Corp. (ADS) $239.24 6.05%
FedEx Corp. (FDX) $231.46 5.93%
Hanesbrands Inc. (HBI) $20.89 5.77%
Hess Corp. (HES) $45.88 5.76%
S&P 500 - Fallers
Juniper Networks Inc. (JNPR) $27.76 -6.25%
Alcoa Corporation (AA) $41.50 -4.13%
American Tower Corp (Reit) (AMT) $143.96 -3.17%
Micron Technology Inc. (MU) $42.39 -3.09%
Urban Outfitters Inc. (URBN) $31.12 -3.02%
Bed Bath & Beyond Inc. (BBBY) $22.39 -2.91%
Target Corp. (TGT) $59.90 -2.87%
Western Digital Corp. (WDC) $78.86 -2.64%
Under Armour Inc. Class A (UAA) $13.28 -2.35%
Celgene Corp. (CELG) $100.83 -2.22%
Nasdaq 100 - Risers
Costco Wholesale Corp. (COST) $184.43 3.89%
Express Scripts Holding Co (ESRX) $65.18 3.69%
Paypal Holdings Inc (PYPL) $75.73 3.39%
Incyte Corp. (INCY) $98.99 3.16%
Biomarin Pharmaceutical Inc. (BMRN) $85.80 3.04%
Mercadolibre Inc. (MELI) $275.14 2.78%
Adobe Systems Inc. (ADBE) $181.47 2.61%
American Airlines Group (AAL) $50.49 2.52%
Cintas Corp. (CTAS) $157.44 2.41%
CSX Corp. (CSX) $55.75 2.41%
Nasdaq 100 - Fallers
Liberty Global Plc Lilac Class A (LILA) $20.80 -4.24%
Liberty Global Plc Lilac Class C (LILAK) $20.75 -3.35%
Micron Technology Inc. (MU) $42.39 -3.09%
Western Digital Corp. (WDC) $78.86 -2.64%
Celgene Corp. (CELG) $100.83 -2.22%
Norwegian Cruise Line Holdings Ltd. - Ordinary Shares (NCLH) $54.16 -2.04%
Dentsply International Inc. (XRAY) $67.01 -1.97%
Charter Communications Inc. (CHTR) $326.21 -1.65%
Tractor Supply Company (TSCO) $68.24 -1.61%
Liberty Global plc Series A (LBTYA) $31.76 -1.61%