S&P sets record, oil tops $75 as second half kicks off
WTI crude oil trades at highest level since October 2018
Federated Hermes Global Equities CIO Steve Auth shares his market picks.
U.S. equity markets battled higher Thursday and oil hit its highest level in almost three years as the second half of the year got underway.
The S&P 500 rallied 0.52%, booking a record high for the sixth straight session. The Dow Jones Industrial Average and the Nasdaq Composite, meanwhile, added 0.38% and 0.13%, respectively, and both ended within striking distance of their own all-time peaks.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| I:DJI | DOW JONES AVERAGES | 42221.88 | +427.28 | +1.02% |
| SP500 | S&P 500 | 5782.76 | +70.07 | +1.23% |
| I:COMP | NASDAQ COMPOSITE INDEX | 18439.170746 | +259.19 | +1.43% |
JOBLESS CLAIMS TUMBLE TO PRE-PANDEMIC LOW
The quiet start to the second half comes as the S&P 500 has gained 14% so far this year while the Dow and Nasdaq have both gained 13%. The major averages have booked five straight quarters of gains.
In stocks, oil-related names like Chevron Corp., Occidental Petroleum Corp. and Halliburton Co. were in focus as West Texas Intermediate crude oil jumped $1.76 to $75.23 a barrel, the highest since October 2018, as investors awaited a decision on production from OPEC and its allies.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| USO | UNITED STATES OIL FUND - USD ACC | 74.75 | +0.45 | +0.61% |
| CVX | CHEVRON CORP. | 153.43 | -0.54 | -0.35% |
| HAL | HALLIBURTON CO. | 28.55 | +0.41 | +1.44% |
OIL TRADERS WARY OF OPEC'S POSSIBLE PRODUCTION CUT
Krispy Kreme Inc. shares opened at $16.30 after the company priced its initial public offering at $17 on Wednesday evening. Shares ended the day up more than 20%.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DNUT | KRISPY KREME | 12.21 | +0.39 | +3.30% |
Meanwhile, Micron Technology Inc. reported earnings and revenue that outpaced estimates. The chipmaker also announced plans to sell its Lehi, Utah, plant to Texas Instruments Inc. for $900 million.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| MU | MICRON TECHNOLOGY INC. | 105.49 | +3.76 | +3.70% |
Walgreens Boots Alliance swung to a quarterly profit, boosted by a rebound in prescription volumes. The pharmacy chain raised its full-year profit growth forecast.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| WBA | WALGREENS BOOTS ALLIANCE INC. | 9.62 | +0.29 | +3.11% |
In deals, Philip Morris International Inc. will buy nicotine gum maker Fertin Pharma from private equity firm EQT for 5.1 billion Danish krone ($813.1 million). The deal comes as the cigarette maker continues its push into the smoke-free product category.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| PM | PHILIP MORRIS INTERNATIONAL INC. | 132.26 | +1.92 | +1.47% |
| NIO | NIO INC. | 5.28 | +0.13 | +2.53% |
Elsewhere, Chinese electric vehicle maker Nio said quarterly deliveries more than doubled versus a year ago.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
Overseas markets were mixed.
In Europe, Britain’s FTSE 100 climbed 1.25% while France's CAC 40 and Germany's DAX 30 rose 0.71% and 0.47%, respectively.
Asian bourses all ended lower with Hong Kong’s Hang Seng index losing 0.57%, Japan’s Nikkei 225 declining 0.29% and China’s Shanghai Composite sliding 0.07%.