U.S. stocks performed really well on Tuesday. The Dow Jones Industrial Average gained 278.24 points, or 0.8% to close at 35,116.40. The S&P 500 index rose 0.8% to notch a new all-time closing high of 4,423.15. The Nasdaq Composite added about 0.6% to close at 14,761.29.
Ten out of 11 S&P indexes traded higher on Tuesday, with energy stocks rebounding after getting hit by a decline in oil prices.
Apple Inc. jumped 1.26% after sliding last week. Other heavyweight technology stocks, including Telsa Inc. Netflix Inc. as well as Facebook Inc., continue to edge lower, capping gains on the tech-heavy Nasdaq.
A deepening regulatory scrutiny in the People’s Republic of China sent shockwaves through the global technology sector. Shares in the U.S.- and European-listed gaming companies dropped after a steep sell-off in China’s social media and tech giant Tencent, triggered by fears the sector could be next in regulators’ crosshairs.
A clutch of companies from the USA, including materials maker Dupont and Discovery Inc., impressive quarterly results. Nevertheless, their shares declined as investors booked profits amid lofty stocks valuations.
The previous record closing high of the S&P 500 was 4,422.30.
Data on Tuesday showed the U.S. factory orders rose 1.5% in June after a 2.3% jump in May. Economists expected a rise of 1% in June. Later in the week, the focus will switch to another important factor. Analysts and investors will keep an eye on the U.S. services sector and the monthly jobs report for July.
In M&A-driven moves, Translate Bio advanced 29.23% after Sanofi agreed to buy Translate Bio in a $3.2 billion deal.
Ralph Lauren Corp. and Under Armour Inc. gained 6.13% as well as 6.19% respectively after raising their annual revenue forecasts.
Overall, earnings at S&P 500 firms climbed about 90% in the second quarter versus forecasts of 64.5% at the start of July, according to IBES data from Refinitiv.
Importantly, the volume on U.S. exchanges stood at 9.28 billion shares, compared with the 9.73 billion average for the full session over the last 20 trading days.
Advancing issues outperformed declining ones on the New York Stock Exchange by a 1.60-to-1 ratio on Nasdaq.
The S&P 500 posted 70 new 52-week highs as well as 3 new lows. Furthermore, the Nasdaq Composite recorded 91 new highs and 117 new lows.
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