U.S. markets closed

US Indexes Close Higher Tuesday After Retail Sales Increase 18%

The Dow Jones Industrial Average closed at 26,289.98 on Tuesday with a gain of 526.82 points or 2.04%. The S&P 500 closed at 3,124.74 for a gain of 58.15 points or 1.90%. The Nasdaq Composite closed at 9,895.87 for a gain of 169.84 points or 1.75%. The VIX Volatility Index was lower at 33.67 for a loss of 0.73 points or -2.12%.

Tuesday's market movers

U.S. indexes closed higher Tuesday, for a three-day rally. Gains were supported by the May retail sales report, which increased 18%. The increase helped economic reopening optimism as states reopen gradually.

  • Retail sales increased 17.7% in May.
  • Retail sales excluding autos increased 12.4% in May.
  • Retail sales decreased 6.1% year over year.

In other news:

  • Oracle reported non-GAAP earnings per share of $1.20 for the fourth quarter, beating estimates by 5 cents. Revenue of $10.44 billion decreased 6.3% year over year and missed estimates by $240 million.
  • The Federal Reserve released its Industrial Production and Capacity report. Industrial production increased 1.4% in May and decreased 15.3% year over year. Manufacturing production increased 3.8% in May and decreased 16.5% year over year. Capacity utilization increased to 64.8% from 64%.
  • The Treasury held auctions for 119-day bills at a rate of 0.180%, 42-day bills at a rate of 0.150% and 52-week bills at a rate of 0.200%.
  • Business inventories were down 1.3% in April.
  • Fed Chair Jerome Powell gave his semi-annual monetary policy testimony before a Senate Committee. Powell said the U.S. economy is still far from where it was before the pandemic began.
  • The NAHB Housing Market Index improved to 58 in June from 37.
  • North Korea blew up a liaison office with South Korea, located on the border of the two republics.
  • 20 soldiers were killed in border warfare between India and China.

In the S&P 500, energy and health care led gains. In the S&P 100, the following stocks led gains:

  • Eli Lilly (NYSE:LLY) +15.68%
  • Occidental Petroleum (NYSE:OXY) +6.51%
  • Caterpillar (NYSE:CAT) +5.26%
  • Merck (NYSE:MRK) +3.99%
  • CVS (NYSE:CVS) +3.95%
  • Qualcomm (NASDAQ:QCOM) +3.62%
  • Home Depot (NYSE:HD) +3.56%

Small-cap stocks

In small caps, the Russell 2000 closed at 1,452.26 for a gain of 32.65 points or 2.30%. The S&P 600 closed at 850.16 for a gain of 20.87 points or 2.52%. The Dow Jones U.S. Small-Cap Growth Index closed at 10,008.38 for a gain of 206.17 points or 2.10%. The Dow Jones U.S. Small-Cap Value Index closed at 7,267.75 for a gain of 194.25 points or 2.75%.

Other notable indexes

Other notable index closes included the S&P 400 Mid-Cap Index at 1,823.44 for a gain of 36.94 points or 2.07%; the S&P 100 at 1,430.10 for a gain of 27.00 points or 1.92%; the Nasdaq 100 at 9,949.37 for a gain of 172.48 points or 1.76%; the Russell 3000 at 1,822.95 for a gain of 33.97 points or 1.90%; the Russell 1000 at 1,730.42 for a gain of 31.83 points or 1.87%; the Wilshire 5000 at 31,867.83 for a gain of 593.13 points or 1.90%; and the Dow Jones U.S. Select Dividend Index at 603.84 for a gain of 11.06 points or 1.87%.

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This article first appeared on GuruFocus.