US close: Retailers, US inflation data boost stocks
- US inflation falls
- Housing starts jump
- Retail stocks rally
DJIA: 0.48%
S&P 500: 0.50%
Nasdaq: 0.43%
US stocks gained as investors weighed solid earnings from retailers and reports on inflation and housing starts.
Home Depot helped to push retail stocks higher after reporting a rise in second quarter revenue that beat estimates and lifted its forecasts.
TJX Cos. rallied as the discount apparel company that owns T.J. Maxx and Marshalls raised its full-year profit forecast after posting an increase in second quarter income.
Dick's Sporting Goods jumped as it beat second-quarter earnings forecasts.
On the downside of corporate news, Elizabeth Arden slumped after saying fall in sales of celebrity fragrances was lower than expected in the fourth quarter.
The focus, however, was squarely on US inflation data which showed a 2% year-on-year increase in July, as expected, after rising 2.1% in June. Consumer prices increased 0.1% in July when compared to a month ago, as forecast, following a 0.3% increase. Excluding food and energy, prices rose 1.9% year-on-year and 0.1% month-on-month.
"The recent slowdown in the pace at which core consumer prices are rising eases some of the pressure on the [Federal Reserve] to start considering increasing interest rates, although only temporarily," said Capital Economics.
The Fed will on Wednesday release minutes from its 29-30 July policy meeting, which may provide further clues on the timing of the first rate hike.
Another US report on Tuesday revealed US housing starts jumped 15.7% in July after falling 4% a month before, surpassing analysts' estimates for an 8.1% gain.
Barclays Research said it viewed the data as "more evidence that the moderate recovery in housing activity is back on track after the disruption in recent months caused by higher mortgage rates and adverse winter weather".
Meanwhile, tensions in the Ukraine seemed to cool after Russia said it had sent more aid to the country. Ukraine also said it had made headway against pro-Russian rebels storming its regions.
The US 10-year yield rose one basis point to 2.40%.
West Texas Intermediate crude futures dropped 2.1% to $94.38 per barrel, according to the ICE.
RD
S&P 500 - Risers
TJX Companies Inc. (TJX) $58.56 +8.65%
Home Depot Inc. (HD) $88.23 +5.55%
F5 Networks Inc. (FFIV) $120.02 +5.27%
Urban Outfitters Inc. (URBN) $38.59 +4.52%
Ross Stores Inc. (ROST) $69.31 +4.04%
Allergan Inc. (AGN) $161.82 +3.99%
Lennar Corp. Class A (LEN) $38.80 +3.33%
D. R. Horton Inc. (DHI) $21.82 +3.27%
Cognizant Technology Solutions Corp. (CTSH) $46.22 +3.26%
Intuitive Surgical Inc. (ISRG) $473.17 +3.06%
S&P 500 - Fallers
Hospira Inc. (HSP) $53.92 -2.81%
Intercontinental Exchange Inc (ICE) $185.69 -2.27%
Dollar Tree Inc (DLTR) $54.71 -1.61%
Viacom Inc. Class B (VIAB) $81.22 -1.14%
Adt Corp (ADT) $36.24 -1.09%
Ingersoll Rand Ltd. (IR) $61.55 -1.01%
Dollar General Corp (DG) $63.59 -0.86%
Western Digital Corp. (WDC) $100.01 -0.82%
Scripps Network Interactive Inc. (SNI) $80.34 -0.79%
Regeneron Pharmaceuticals Inc. (REGN) $346.79 -0.76%
Dow Jones I.A - Risers
Home Depot Inc. (HD) $88.23 +5.55%
Unitedhealth Group Inc. (UNH) $83.47 +1.37%
American Express Co. (AXP) $88.12 +1.10%
Chevron Corp. (CVX) $127.63 +1.05%
Cisco Systems Inc. (CSCO) $24.64 +0.86%
Merck & Co. Inc. (MRK) $58.91 +0.84%
E.I. du Pont de Nemours and Co. (DD) $66.29 +0.64%
JP Morgan Chase & Co. (JPM) $57.56 +0.58%
Wal-Mart Stores Inc. (WMT) $74.88 +0.52%
Intel Corp. (INTC) $34.34 +0.50%
Dow Jones I.A - Fallers
AT&T Inc. (T) $34.48 -0.49%
Goldman Sachs Group Inc. (GS) $173.96 -0.34%
Coca-Cola Co. (KO) $41.26 -0.22%
Verizon Communications Inc. (VZ) $48.70 -0.16%
Travelers Company Inc. (TRV) $92.91 -0.09%
General Electric Co. (GE) $26.05 -0.08%
Nike Inc. (NKE) $78.51 -0.05%
Exxon Mobil Corp. (XOM) $99.49 -0.03%
Nasdaq 100 - Risers
F5 Networks Inc. (FFIV) $120.02 +5.27%
Ross Stores Inc. (ROST) $69.31 +4.04%
Cognizant Technology Solutions Corp. (CTSH) $46.22 +3.26%
Intuitive Surgical Inc. (ISRG) $473.17 +3.06%
Fastenal Co. (FAST) $44.96 +2.60%
Google Inc. Class C (GOOG) $586.86 +2.33%
Expeditors International Of Washington Inc. (EXPD) $41.54 +2.32%
Google Inc. (GOOGL) $597.11 +2.30%
Facebook Inc. (FB) $75.29 +2.25%
Catamaran Corp (CTRX) $46.82 +2.23%
Nasdaq 100 - Fallers
Dollar Tree Inc (DLTR) $54.71 -1.61%
Tesla Motors Inc (TSLA) $256.76 -1.22%
Sba Communications Corp. (SBAC) $108.02 -1.16%
Viacom Inc. Class B (VIAB) $81.22 -1.14%
Activision Blizzard Inc. (ATVI) $23.01 -1.12%
Western Digital Corp. (WDC) $100.01 -0.82%
Charter Communications Inc. (CHTR) $156.15 -0.80%
Regeneron Pharmaceuticals Inc. (REGN) $346.79 -0.76%
NetApp Inc. (NTAP) $40.83 -0.68%
TripAdvisor Inc. (TRIP) $97.37 -0.60%