By Anneken Tappe and Ryan Vlastelica
Vehicle sales come in better than expected, help add to market
optimism
U.S. stock benchmarks scrambled deeper into record territory on
Tuesday, setting the S&P 500 on course for its sixth gain in a
row, as investors took their cues from upbeat data, including a
report on vehicle sales.
What stock benchmarks are doing
The Dow Jones Industrial Average rose 84 points, or 0.4%, to
22,640. The S&P 500 rose 4 points to 2,533, an increase of
0.2%.
The Nasdaq Composite Index rose 10 points, or 0.2%, to
6,526.
The S&P has gained for five consecutive trading days, its
longest winning streak since a six-session advance that ended Sept.
1. The Dow has moved higher in four straight sessions, while the
tech-heavy Nasdaq has risen for five sessions in a row.
The Russell 2000 , meanwhile, fell around 3 points, or 0.2%, to
1,506. The index of small companies hit an all-time high in early
trading, but soon turned lower and is on track to snap a
seven-session rally.
What are driving markets?
Stocks have been supported by some strong economic data,
including the recent ISM manufacturing survey
(http://www.marketwatch.com/story/key-yardstick-of-us-manufacturers-touches-highest-level-since-2004-ism-finds-2017-10-02)
for September, as well as hopes for tax-cut legislation. However,
there are lingering concerns that the market's record advance--the
S&P is up 13% year to date, the Dow is on track for a nearly
15% return thus far this year, while the Nasdaq has gained more
than 20%--has been overdone. That's especially as the Federal
Reserve increases borrowing costs.
What strategists are saying
Which stocks are in focus?
Shares in MGM Resorts International(MGM) shed 0.2% after falling
5.6% Monday
(http://www.marketwatch.com/story/mgm-resorts-stock-falls-5-premarket-after-mandalay-bay-shooting-2017-10-02)
in the wake of the mass shooting at the company's Mandalay Bay
property in Las Vegas.
See:Las Vegas shooter Paddock had 42 guns and a 'bump stock'
(http://www.marketwatch.com/story/las-vegas-shooter-paddock-had-42-guns-and-a-device-enabling-firing-at-an-automatic-rate-2017-10-03)
Gun-maker stocks such as Smith & Wesson parent American
Outdoor Brands Corp.(AOBC) and Sturm, Ruger & Co. Inc. (RGR)
also could see another active session after rallying Monday
(http://www.marketwatch.com/story/gun-maker-stocks-surge-after-mass-shooting-in-las-vegas-2017-10-02).
They often gain when traders think stricter regulations are coming,
as sales can get a lift ahead of any change. Shares of both
American Outdoor and Sturm rose 0.9%.
What are the data saying?
Major auto makers posted better-than-expected sales gains in
September amid heavier consumer discounts and demand to replace
hurricane-damaged vehicles, giving the industry relief from a
protracted period of
(http://www.marketwatch.com/story/gm-ford-toyota-post-sharp-sept-sales-gains-2017-10-03-144851637)declining
results.
General Motors Co.(GM) rose 2.7% after it reported U.S. sales
growth of 12%
(http://www.marketwatch.com/story/gms-stock-shoots-up-to-record-high-after-september-sales-report-2017-10-03),
with the stock hitting a record in early trading.
Ford Motor Co.(F) was up 2.3% after it posted sales growth of
8.7%. The auto maker was also in focus as new CEO Jim Hackett is
due to provide an update on the company's progress
(http://www.marketwatch.com/story/new-ford-chief-says-ready-to-tinker-under-the-hood-2017-09-30)
at an investor meeting.
Fiat Chrysler's (FCA.MI) September numbers fell by 10%
year-over-year
(http://www.marketwatch.com/story/fiat-chryslers-us-september-sales-fall-with-sharp-declines-in-jeep-chrysler-and-dodge-brand-sales-2017-10-03),
thanks to declines in its Jeep, Chrysler and Dodge brands. Its
shares last traded slightly weaker, down 0.3% from yesterday.
Shares in Tesla Inc.(TSLA) pared previous losses and rose almost
1.6%. Late Monday, news came that third-quarter production for the
electric car maker's Model 3 sedan was lower than anticipated, due
to manufacturing bottlenecks
(http://www.marketwatch.com/story/tesla-model-3-hit-by-production-bottleneck-that-slowed-initial-deliveries-2017-10-02),
causing Tesla's shares to take a dive.
Home builder Lennar Corp. (LEN) rose 5.3% after
better-than-anticipated quarterly results
(http://www.marketwatch.com/story/lennars-stock-set-for-rally-after-profit-and-sales-beat-expectations-2017-10-03).
Check out:MarketWatch's Economic Calendar
(http://www.marketwatch.com/economy-politics/calendars/economic)
What other assets are doing
European stock markets
(http://www.marketwatch.com/story/european-stocks-pause-for-breath-after-8-day-winning-run-2017-10-03)
traded in tight ranges on Tuesday, taking a breather after an
eight-day winning streak. Asian equity markets largely closed
higher
(http://www.marketwatch.com/story/hang-seng-nikkei-lead-market-gains-in-asia-2017-10-02),
though some bourses remained closed for holidays.
Oil futures were trading slightly lower
(http://www.marketwatch.com/story/oil-slips-further-on-concerns-about-higher-supply-2017-10-03),
while gold futures booked their third straight decline
(http://www.marketwatch.com/story/gold-extends-retreat-as-bond-yields-stocks-rise-2017-10-03),
as the ICE U.S. Dollar Index inched higher
(http://www.marketwatch.com/story/dollar-holds-ground-at-six-week-highs-2017-10-03).
--Victor Reklaitis contributed to this article
(END) Dow Jones Newswires
October 03, 2017 14:45 ET (18:45 GMT)
Copyright (c) 2017 Dow Jones & Company, Inc.
MGM Resorts (NYSE:MGM)
Historical Stock Chart
From Apr 2024 to May 2024
MGM Resorts (NYSE:MGM)
Historical Stock Chart
From May 2023 to May 2024