|Day's Range||2,854.02 - 2,868.88|
|52 Week Range||2,346.58 - 2,954.13|
Stocks rebounded from Monday’s declines as a temporary exemption to a blacklist against China’s Huawei Technologies ignited a more risk-on sentiment among investors.
How long-term stock investors can grapple with a sluggish late-stage stock market.
How trade worries affect the long-term outlook for technology stocks.
Stocks marched broadly higher on Wall Street in late-afternoon trading Tuesday, placing the market on track to snap a two-day losing streak. The rally followed the U.S. government's decision to temporarily ease off proposed restrictions on technology sales to Chinese companies. The news gave a boost to technology sector stocks, which took steep losses a day earlier when the Trump administration announced curbs on technology sales, aimed primarily at Chinese telecom gear maker Huawei.
Shares of technology companies helped push Wall Street forward on Tuesday after the United States temporarily eased curbs on China's Huawei Technologies Co Ltd, alleviating investor concerns about pressure on future corporate results in the sector. U.S. President Donald Trump added Huawei to a trade blacklist last week, leading several companies to suspend business with the world's largest telecom equipment maker, a move that could weigh on their sales. Chipmakers, many of which sell to Huawei, bore the brunt of Monday's sell-off.
U.S. stocks rebounded on Tuesday as the trade-war driven back-and-forth that has dominated markets this month showed few signs of abating. The S&P 500 Index climbed after the U.S. decided to grant limited relief for consumers and carriers that do business with Huawei Technologies -- a day after the White House’s moves against the Chinese telecom giant battered stocks. For all the turmoil, a gauge of global stocks remains within 5% of an all-time high, while the S&P 500 is about 3% from a record.
Apple Inc. on Tuesday expanded a service program to address keyboard issues to include its newest line of MacBooks, suggesting the tech giant has yet to work out design bugs for its so-called butterfly keyboards. Back in June, Apple said it would replace damaged keys or entire keyboards for free on MacBooks with defective butterfly keys going back to 2015. The keyboards use a "butterfly mechanism," or V-shaped underpinnings rather than an X-shaped scissor connection for the keys, to allow for a thinner keyboard. On Tuesday, Apple expanded the program to include its latest 2019 model MacBooks, and said it was changing a material used in its butterfly keyboards. The change coincided with Apple's latest MacBook Pro release. Apple shares were up 2.5% at $187.69 last check, while the S&P 500 index was up 0.9%.
In a quarter when calls for drug pricing and "Medicare-for-All" grew louder, hedge funds raised their holdings in stocks from drugmakers to health insurers. At the end of March, their exposure increased to the highest since 2010, making the group the most crowded among 11 industries, regulatory filings compiled by RBC Capital Markets showed.
Semiconductor stocks led another stock market rally Tuesday after President Trump eased trade restrictions on Chinese telecom Huawei.
Binky Chadha, chief equity strategist at the firm, expects the market to pull back over the next three months before quickly bouncing back up. According to the CNBC Market Strategist Survey, the average 2019 S&P 500 target among 17 firms is 2,961, with 2,750 as the lowest. Deutsche Bank DBK-DE is standing by its call for a 30% return on the S&P 500 this year, despite increasing global fears over the escalating U.S.-China trade dispute.
Chipmakers, which bore the brunt of Monday's sell-off, rose after the United States granted the Chinese telecoms equipment maker a license to buy U.S. goods until Aug. 19. The Philadelphia Semiconductor Index gained 2.09% and was on track to end a three-day slump. Shares of Huawei suppliers such as Intel Corp, Qualcomm Inc, Xilinx Inc and Broadcom Inc rose between 1% and 3.5%.
Technology stocks fueled a rebound on Wall Street on Tuesday after the United States temporarily eased curbs on China's Huawei Technologies, raising expectations that the two countries would work toward a trade deal. The Philadelphia Semiconductor Index gained 2.09% and was on track to end a three-day slump. Shares of Huawei suppliers such as Intel Corp, Qualcomm Inc, Xilinx Inc and Broadcom Inc rose between 1% and 3.5%.
Crane made a bid for valve maker Circor, which has struggled as the price of oil fell. The bid could mean larger industrial companies are looking at the oil patch again as a source of growth.
Stocks that are most owned by hedge funds have been outperforming the broader market for years, according to Goldman Sachs. In 2019 alone, the group has beaten the S&P 500 by 3 percentage points. Sometimes following the crowd can be a profitable strategy, particularly if that crowd is composed of hedge fund managers who have been beating the market.
Technically speaking, the major U.S. benchmarks continue to whipsaw amid trade-fueled volatility though the bigger-picture damage has thus far been largely contained, writes Michael Ashbaugh.
So far, 2019 has been a blockbuster year for the stock market. Year-to-date, the big S&P 500 index is up 15.02% on a total returns basis, clocking in its best start to a calendar year since 2013. Just to put that in perspective, this year is also one of 16 price rallies above 13% in the first 96 trading sessions of any year stretching all the way back to 1928.
Tech stocks were the big winners due to a U.S. plan to provide temporary exemptions to its ban on sales of goods or services to Huawei Technologies.
A basket of the long positions most favored by hedge funds -- which includes shares of Amazon.com Inc, Microsoft Corp. and Alibaba Group Holding Ltd. -- outperformed the S&P 500 through the start of the second quarter, the bank said in a note. The research tempers the narrative that funds lacked conviction amid this year’s remarkable stock market recovery -- in fact they did, it just seems to have been concentrated in a group of proven winners. Hedge fund ownership has proven a good signal for equity returns over two decades, regardless of high valuations, according to the U.S. bank.