Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Stocks - Profit-Taking and Fatigue Keep Market in Check

Published 06/11/2019, 03:35 PM
Updated 06/11/2019, 05:06 PM
© Reuters.

Investing.com - On the surface, the stock market went nowhere. The reality was a bit different. The open was strong, stocks shot seriously higher just as they had in the prior five days, and then the rally stalled.

The result was the S&P 500 ending flat, off 0.03%. The Dow Jones industrials lost 0.05% (although just 12 of the 30 stocks in the average were lower), and the Nasdaq Composite ticked down 0.01% -- less than a point.

There wasn't a lot of news to push markets around. President Donald Trump didn't complain much about the Federal Reserve, although the 10-year Treasury yield closed down slightly at 2.14%. Trade tensions seemed mostly put away for the day. There's a big G20 meeting coming at the end of June to look forward to.

Cisco Systems (NASDAQ:CSCO) and Costco Wholesale (NASDAQ:COST) hit 52-week highs. Microsoft (NASDAQ:MSFT) also hit a 52-week high of $134.24, but then fell back. Still, the Nasdaq 100 index was up 0.2% on the day.

Oil prices were flat. WTI futures were up 1 cent to $53.27 a barrel. Brent futures, the global benchmark, were flat at $62.29 a barrel.

Clearly profit-taking was at work -- for good reason. The S&P 500 had risen 5.3% since June 3 through Monday. The Dow had jumped 5% between May 31 and Monday. The Nasdaq's gain between June 3 and Monday was 6.7%.

And maybe it was just the day for a pause.

There was a little drama. Sprint (NYSE:S) and T-Mobile US (NASDAQ:TMUS) were off 5.9% and 1.6%, respectively, after attorneys general from 10 states sued in federal court to block the companies' proposed $26 billion merger. They say the deal would be anti-competitive and raise consumer prices, despite the opinion of FCC Chairman Ajit Pai that the combination will promote competition.

Boeing (NYSE:BA) shares fell 1.3%, contributing 30.3 points to the Dow's downside after reporting airliner deliveries fell to 30 in May from 68 deliveries a year ago because of the continuing grounding of the 737 Max. It's not clear if regulators will certify the planes in time to get them back into use before the end of the year.

Boeing shares were up 18% in the first quarter. They're off 8.4% in the second quarter and up just 8.3% for the year. They're also 22% off their 52-week high.

Dave & Buster’s Entertainment (NASDAQ:PLAY) shares fell more than 17% after hours after cutting guidance for the full year.

Wednesday brings the Mortgage Bankers Association's weekly reports on mortgage rates and mortgage applications and retail inflation data.

Outdoor apparel maker Lululemon Athletica (NASDAQ:LULU) reports fiscal first-quarter earnings after the close tomorrow. Analysts polled by Investing.com expect earnings of 70 cents a share, up 27% from a year ago. Revenue is forecast at $756 million, up 16.4% from a year ago. Shares are up 41% this year.

S&P 500 Winners and Losers

Signet Jewelers (NYSE:SIG), specialty-chemical maker Albemarle (NYSE:ALB) and oil services giant Schlumberger (NYSE:SLB) were among the top S&P performers on the day.

Defense contractors Raytheon (NYSE:RTN) and L3 Technologies (NYSE:LLL) and technology company Harris (NYSE:HRS) were among the worst-performing S&P 500 stocks on the day.

Latest comments

Nice phrases offer pleasure in reading!
great spell check dude.
Why are we delaying European tariffs? Is it because it will affect the wralthy.
pretty simple timing trade and fibonacci trade for knowledgeable traders
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.