Clone of Dow surges 580 points thanks to Boeing and record home sales
|Stocks were slightly higher at the open. But the major indices quickly dropped.
Just minutes after the opening bell the S&P and NASDAQ were in negative territory. And it looked like we were going to have a repeat of Friday’s slide.
But then a HUGE housing report at 10am ET jolted the markets, and stocks rallied.
The forecast for May’s Pending Home Sales was a modest 18.9%. But the increase was double what was expected! The 44.3% increase was the largest jump since 2001 when the National Association of Realtors began tracking these numbers.
The better than expected housing numbers left traders optimistic about the economy, and stocks rallied throughout the day.
There was a final push higher in the last 10 minutes of trading, and the major indices finished the session at highs of the day.
Here’s where the major markets ended the day:
Boeing (BA) helped lift the DOW higher today with a whopping 14.4% gain. Traders loved the idea that the new 737 MAX could be moving towards its airworthy certifications!
Southwest (LUV) shares rallied today in part due to an analyst upgrade. LUV ended the day higher by 9.6%.
Chesapeake (CHK) filed for bankruptcy on Saturday. The New York Stock Exchange has suspended trading and will de-list shares of the fracking giant.
Facebook (FB) bounced back after a rough Friday. The company has taken some heat over the company’s approach to posts by President Donald Trump and other controversial content. As a result, major advertisers like Coca Cola, Starbucks, Verizon, and many others have backed out. The stock ended the day higher by 2.1% after being down as much as 4.2%.
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