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US-STOCKS-MARKETS
S&P 500, Nasdaq end at record highs after solid earnings
NEW YORK, April 24, 2019 (BSS/AFP) – The S&P 500 and Nasdaq jumped to all-
time records on Tuesday following a barrage of mostly positive earnings
reports that boosted confidence in the economic outlook.
The broad-based S&P 500 finished at 2,933.68, up 0.9 percent and three
points above the previous record in September.
The tech-rich Nasdaq Composite Index advanced 1.3 percent to 8,120.82,
also a record, while the Dow Jones Industrial Average gained 0.6 percent,
rising to 26,656.39, leaving it about 170 points short of its own all-time
high.
Investors had been cautious heading into first-quarter earnings period,
owing to expectations for an overall drop in profits.
But a broad range of companies charged higher on Tuesday following
earnings reports, including defense giant Lockheed Martin, soft drinks
company Coca-Cola, toymaker Hasbro and social media company Twitter.
The strong results have lifted expectations that stocks could continue to
rise, even after an almost unbroken climb higher throughout 2019 so far.
“We are now seeing more signs of solid economic growth, as well as
indications that companies not only are reporting better than expected first-
quarter earnings, but also are continuing to guide for modest earnings growth
throughout 2019,” said Kate Warne, an investment strategist at Edward Jones.
Not every company that reported results pushed higher. Procter & Gamble
reported better-than-expected profits and a solid five percent increase in
organic sales, but still shed 2.7 percent. Briefing.com attributed the drop
to profit-taking.
Harley-Davidson dropped two percent after reporting a 26.8 percent decline
in first-quarter earnings, due in part to the continued hit from European
tariffs. US President Donald Trump on Tuesday cited the company’s plight in
vowing to retaliate against the EU.
But department store chain Kohl’s surged 12 percent after announcing it
was expanding a pilot program at 100 stores to accept returns for Amazon
items.
Kohl’s will offer the program at all of its more than 1,150 locations
nationwide starting in July.
BSS/AFP/HR/0950