Renewed expectations about progress in tax reform have brought the best day for the Dow Jones index. The benchmark posted a 196-point rise and ended at 21,899.89 points, with Boeing’s shares contributing the most. Speculation has emerged that Trump and Republicans have found a common language for the reform approach, and it is likely that progress will soon be made in the infrastructure investment project at least.
This was the main catalyst for the stock market on Tuesday, which recorded its full year growth in anticipation of the reforms in question. This is a situation where many investors expect growth depletion and correction and it is increasingly difficult for investors to enter the market. However, this was not the case during trade Tuesday, 10 sectors from S & P 500 traded on green territory and brought the broader measure higher, up to 2 452.50 points. Technological Nasdaq recorded a rise of 1.36% to 6,297.48 points.
New home sales data in the United States is a very good measure of consumption in the country, preserving levels on a monthly basis, which would have a positive impact, data will be available today. Maybe the most watched event of the day will be US oil inventories, which are the main catalyst on the market. Preliminary data were controversial, but it will be clear when official data comes out.
In corporate news, Cosmetic company Coty was a hit harder. The share lost almost 10 percent. The company dumped in the red quarter last year, where experts accounted for a modest profit. The company’s outlook also disappointed.
Media company Time Warner lost 0.3 percent of stock market value after Brazil’s antitrust watchdog threatens its take over by telecom group AT & T. The deal would put competition in the pay-TV market in Brazil.
Chevron was up amid reports that John Watson will soon announce his departure from the oil company. The official statement is expected only next month. Vice-Chairman Michael Wirth reportedly would be the main candidate to replace Watson.
Retailer Macy’s saw gains after news that the company strengthened its management with technology expert Hal Lawton, who previously worked for eBay. Furthermore, it announced significant cost savings.
Construction company Toll Brothers lost 2.6 percent, despite increasing profits on higher sales. The group benefited mainly from the attractive housing market in the US.
Medical technology company Medtronic lost over 2 percent after earnings, while machine manufacturer Nordson dropped 11 percent after issuing disappointing prospects.