This post was originally published on this site
The S&P 500 and Nasdaq Composite traded in record territory on Thursday as U.S. stocks advanced for a sixth straight session, thanks in part to big gains in shares of Best Buy and HP after quarterly results.
The S&P 500 index SPX, +0.43% was up 9.78 points, or 0.4%, at 2,418.08, after setting an intraday record of 2,414.76. All of the 11 main sectors traded higher, led by gains in consumer-discretionary shares, up 0.8%.
Some technical analysts suggested closing at these levels would prompt a further rally in broader markets.
“Assuming the breakout is confirmed, short-term upside is likely greatest for small- and mid-cap stocks given their relatively oversold position,” said Katie Stockton, chief technical strategist at BTIG.
The Nasdaq Composite Index COMP, +0.59% also hit an intraday record at 6,199.02, and was most recently up 32 points, or 0.5%, at 6,195.
The Dow Jones Industrial Average DJIA, +0.37% was up 73 points, or 0.4%, at 21,086, just shy of its record close of 21,115.55 reached March 1.
Gains were underpinned by robust earnings, according to Steve Chiavarone, portfolio manager at Federated Global Allocation Fund.
“A 15% earnings growth in the first quarter was all achieved without any fiscal stimulus, so investors can afford to be patient even as tax cuts and deregulation reforms are being delayed,” Chiavarone said.
Investors appeared to shrug off a dip in oil prices. On Thursday, crude prices CLN7, -0.74% turned lower after Saudi Arabia’s oil minister Khalid al-Falih ruled out deeper cuts to production in any extension to an OPEC output agreement.
But the Organization of the Petroleum Exporting Countries did agree to a nine-month extension to the current deal at Thursday’s meeting in Vienna, Austria, as expected.
“Oil is very volatile as markets hang on every word coming from the OPEC meeting in Vienna. Headlines so far are not supporting the bull,” said Neil Wilson, senior market analyst at ETX Capital, in a note.
But Signet Jewelers Ltd. SIG, -5.45% fell 3% after the retailer’s earnings fell short of forecasts. Signet’s debt was promptly downgraded by Fitch following earnings. and Dollar Tree Inc. DLTR, +2.46% traded lower after its quarterly results.
Spam producer Hormel Foods Corp. HRL, -5.55% posted disappointing quarterly sales, saying pressure on its Jennie-O Turkey Store will continue. Shares were down 3.8%.
Economic news: Initial jobless claims rose by 1,000 to 234,000 in the seven days stretching from May 14 to May 20, largely in line with expectations.
Advanced U.S. trade deficit in goods widened by 3.8% in April to $67.6 billion.
Check out: MarketWatch’s Economic Calendar
Fed Gov. Lael Brainard is scheduled to give a speech on global economic issues in Washington, D.C., at 10 a.m. Eastern, and St. Louis Fed President James Bullard is slated to talk in Japan about the American economy after the U.S. market’s close—at 11 p.m. Eastern.
Other markets: European stocks SXXP, +0.02% traded slightly lower, while Asian markets closed with gains. Gold futures GCM7, +0.13% gained slightly, as a key dollar index DXY, +0.07% inched lower. Meanwhile, the yield on the 10-year Treasury note TMUBMUSD10Y, +0.47% fell to 2.25% amid the OPEC meeting.