The U.S. stock market closed Tuesday's trading session mixed
with the Dow and S&P recording solid gains and the Nasdaq
finishing close to unchanged.
Despite a steep decline in consumer confidence, investors
snapped up stocks throughout the day as the major averages closed
near session highs. The energy sector was the top performer,
gaining around 1.30 percent.
Other strong sectors included basic materials, consumer
staples, and healthcare. The Nasdaq was held back by the tech
sector which was only up 0.05 percent.
The Dow Jones Industrial Average rose more than 72 points, or
0.52 percent, to close at 13,954.
The S&P 500 added a little less than 8 points, or 0.51
percent, to 1,508.
The Nasdaq finished the day with a loss of under 1 point, or
0.02 percent, to just below 3,154.
Consumer confidence fell sharply in January to record its
lowest reading since November 2011. The index fell from an
upwardly revised 66.7 in December to 58.6 in January. This was
well below consensus estimates calling for a decline to just
Despite a strong stock market, consumer confidence has been
hit by gridlock in Washington D.C., concerns over the debt
ceiling, and the end of the payroll tax holiday.
Crude oil was higher on Tuesday and prices are pushing towards
the $100 level again. NYMEX crude futures, the U.S. benchmark,
were last up around 1 percent to $97.42. Brent crude contracts
were trading 0.59 percent higher to $114.15.
Natural gas added to losses on Monday and was last trading
down around two percent to $3.23.
Precious metals gained on Tuesday with COMEX gold futures
adding 0.59 percent to $1,665. At last check, silver futures were
up more than two percent to $31.43. Copper had climbed a little
less than one percent on the day.
In the agricultural complex, corn was close to unchanged while
wheat had lost 0.29 percent. Movers in soft commodities included
sugar, which lost almost 2 percent, and cocoa and cotton which
were up 1.57 percent and 1.65 percent, respectively.
Late in the trading day, the iShares Barclays 20+ Year
Treasury Bond ETF (NYSE:
) had lost around 0.50 percent to $117.03. The decline in bond
prices pushed yields higher.
The 2-Year Note yield held steady at 0.28 percent while the
5-Year rose by one basis point to 0.88 percent. The 10-Year Note
and 30-Year Bond yields both rose by three basis points to 1.99
percent and 3.17 percent, respectively.
The U.S. dollar was weaker on the day with the PowerShares DB
US Dollar Index Bullish ETF (NYSE:
), which tracks the performance of the greenback versus a basket
of foreign currencies, trading down 0.32 percent heading into the
The closely watched EUR/USD pair had risen 0.29 percent to
$1.3487. Other movers included the GBP/USD which was up 0.41
percent and the AUD/USD which climbed 0.53 percent on the
Volatility and Volume
The VIX was lower on Tuesday as the stock market had another
good day. The widely watched volatility index declined a little
less than two percent to 13.31.
Volume was light once again on Tuesday as investors seem
content to hold onto positions in a low-volatility, rising
market. Around 97.7 million SPDR S&P 500 ETF (NYSE:
) shares traded hands compared to a 3-month daily average of
) lost around five percent Tuesday ahead of the company's
earnings report scheduled for after the closing bell on
) plummeted 15 percent after the disappointing Q4 results and
weak Q1 guidance.
) lost around six percent ahead of a scheduled earnings report
after the closing bell.
Homebuilders D.R. Horton (NYSE:
) and Beazer Homes (NYSE:
) both surged after earnings reports. D.R. Horton shares added
almost 12 percent on the day while Beazer rose a little less than
) earnings triggered a rally in the refining sector with the
stock closing up almost 13 percent. A handful of rival refiners
also posted strong gains on the session.
) lost almost 5 percent after its Q4 earnings results.
) surged nine percent on Tuesday after hedge fund Elliott
Management confirmed it is seeking five seats on the company's
board. The fund is pushing for Hess to spin-off its assets in the
Bakken Shale and split itself into three parts.
J.C. Penney (NYSE:
) jumped more than nine percent after saying it plans to
re-implement more sales promotions. The move is an about face for
CEO Ron Johnson who had previously put into place a no-discounts
policy that has largely failed.
Cloud-computing stock VMware (NYSE:
) fell more than 21 percent after releasing its quarterly results
on Monday after the market close.
Hard-drive maker Seagate Technology (NASDAQ:
) lost more than nine percent after its quarterly earnings
Online game-maker Zynga (NASDAQ:
) fell around 8.50 percent a day after staging a large rally.
After jumping more than 70 percent on Monday, shares of Keryx
) climbed over 37 percent on Tuesday. The catalyst for the move
was the release of positive data from the company's Phase III
trial of its hyperphosphatemia drug Zerenex.
(c) 2013 Benzinga.com. Benzinga does not provide investment
advice. All rights reserved.
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