By Dow Jones Business News,
July 23, 2014, 04:23:00 PM EDT
MARKET SNAPSHOT: S&P 500 Closes At Record On Strong Earnings
By Anora Mahmudova and Barbara Kollmeyer, MarketWatch
NEW YORK (MarketWatch) -- Gains in health care and technology sector stocks on the back of impressive profits from
Biogen Idec Inc. and Apple Inc. pushed the S&P 500 to close at a record on Wednesday.
The S&P 500 (SPX) closed 3.48 points, or 0.2%, higher at 1,987.01, closing at a record level for the 26th time this
year. The Dow Jones Industrial Average (DJI) was weighed down by Boeing Inc. and closed 26.91 points, or 0.2%, lower at
17,086.63. The Nasdaq Composite (RIXF) ended the session up 17.68 points, or 0.4%, to 4,473.70, with biotechnology
companies leading the gains.
Read the recap of MarketWatch's live blog of today's stock-market action.
Investors seemed to have brushed off news that two Ukrainian fighter jets were shot down Wednesday near where Malaysia
Airlines Flight MH17 was downed as well as continued ground attacks on Gaza.
Kim Caughey Forrest, investment strategist at Fort Pitt Capital said that geopolitical issues in the Middle East and
Ukraine, may not affect businesses in the short-term, but in the long-term, "we will be affected if American companies
cannot move freely in the world."
"At this point, overall earnings growth has already been priced in. Wall Street's full-year earnings estimates are too
optimistic and eventually will come down," Forrest added.
The data calendar was empty for Wednesday, leaving investors to fix their attention on corporate earnings.
Biogen Idec Inc. ( BIIB ) jumped 11% after the biotechnology company's latest earnings results impressed investors all
around, beating estimates on sales, profits, and guidance for the full fiscal year.
Boeing ( BA ) fell 2.3% even as the plane manufacturer lifted its core earnings-per-share outlook for 2014.
PepsiCo (PEP) rallied 2% after the company's second-quarter profit beat estimates and it lifted earnings guidance.
Delta Air Lines Inc. shares ( DAL ) climbed 3.7% after the company's second-quarter profit jumped 17%, driven by higher
passenger and operating revenue. (Read more about the day's notable movers here: http://www.marketwatch.com/story/apple-
Investors also reacted to big tech earnings that came late Tuesday. Apple ( AAPL ) shares rose 2.6% after earnings that
topped expectations. Also read: 5 reasons why Apple shares could rise another 16% this year.
After the close, Facebook Inc. ( FB ) reported second-quarter earnings that topped estimates as revenue surged 61%.
Shared rallied 3% in after-hours trading. Read: Live blog of Facebook's earnings call.
Among other markets, the Stoxx Europe 600 index edged up 0.1% Wednesday, while Asia also logged a mostly-higher
Crude oil prices (CLU4) rose ahead of key supply data, while gold prices (GCQ4) were flat. The dollar rose against the
British pound (GBPUSD)(GBPUSD) after minutes from the Bank of England's July meeting showed all members voted to keep
monetary policy loose.
More must-reads from MarketWatch:
Michael Lewis tells Conan O'Brien he still thinks the stock market is 'rigged'
S&P 500 vies for technical breakout
Why the markets don't care what happens in the world
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