Investors Turn Blind Eye Towards Higher Rates
Here is a daily recap of the S&P 500 broken down by sector followed by sector heat map after investors turn blind eye towards higher rates. Stocks in heat map are based on the top 10 holdings of each sector ETF. Click on each picture to zoom in. Below is a summary of today’s action on Wall Street provided by CNBC:
U.S. stocks rose in choppy trading Thursday as the major indexes tried to extend their current winning streak to five days. The move higher took place despite interest rates reaching multi-year highs. At 3:03 p.m. ET, the Dow Jones industrial average traded 250 points higher, with Boeing as the biggest contributor of gains.
The S&P 500 (SPY) jumped 1.21% today as investors turn blind eye towards higher rates. S&P sector advancers led decliners 9 to 1. Utilities (XLU) led the way with a 2.22% gain. Technology (XLK), industrials (XLI), healthcare (XLV) and consumer staples (XLP) all added 1% or more. Consumer discretionary (XLY), financials (XLF), materials (XLB) and real estate (XLRE) all had minimal gains of less than 1%. Energy (XLE) settled slightly negative less than 1%.
The Dow Jones index advanced 306 points today getting a big boost from Boeing (+3%) ending the day at 25,200. The Nasdaq with help from Amazon, Netflix and Google moved forward by 112 points finishing the day at 7,256.
Stocks continued their positive momentum as the Dow extends a 5 day win streak. All major indexes closed the day with 1% or more gains. Equities moved higher despite the 10 year bond yield hitting a 4 year high before the before the bell, ending the day at 2.90%. Investors are learning to live with higher rates. Wednesday finished with stocks and bonds rising together and today they acted the same the way.
Some notable S&P 500 gainers on the day…
- AAPL +3% Apple shares higher after Berkshire Hathaway increases stake in company
- MSFT +2%
- JNJ +1%
- GOOGL +1%
- BA +3% Boeing jumps after CEO makes bullish comments
- MMM +1%
- ABBV +1%
Credit: Sector Graph provided by Sector SPDR app. Sector breakdown provided by Charles Schwab. Sector heat map provided by finviz. Information Credit: News Headlines and quotes were taken from CNBC in the writing of this post.
S&P 500 Sector Graph
S&P 500 (SPY)
Consumer Discretionary (XLY)
Consumer Staples (XLP)
Real Estate (XLRE)
S&P 500 Sector Heat Map