These 3 Stocks Are Crushing the Dow Today
The Dow Jones Industrial Average was trading up early on Monday -- the index added more than 70 points as of 11:15 a.m. EST. But a few stocks were doing far better: Dow Jones component Verizon Communications was up better than 1%, while Apple rallied nearly 3%. GSV Capital was up almost 5%.
Inflation remains in check
Inflation in the U.S. remains tepid at best, according to an economic report released early Monday. The core personal consumption (PCE) price index showed an increase of 0.1%, in line with economists' 0.1% estimates. The PCE price index is designed to show the changes in the price of goods purchased by U.S. consumers, excluding money spent on food and energy.
A strongly higher number would've indicated inflation, and may have made it more likely that the Federal Reserve would reduce its stimulus measures in future quarters. But as long as inflation appears to be subdued, the Fed seems likely to continue supporting the economy. That sentiment may have been helping the Dow Jones move higher early on Monday.
Apple gains on China Mobile deal
Apple, meanwhile, was strongly outpacing the Dow. Last night, Apple finally announced its long-anticipated deal with China Mobile. Starting next month, the iPhone will be available to China Mobile's roughly 700 million subscribers. China Mobile is the largest carrier in the world, and with Apple's smartphones now available to the carrier's customers, Apple could sell millions more iPhones to Chinese consumers in the coming years.
In addition to the China Mobile deal, there were also reports of a forthcoming large-screen iPhone, and a leaked Apple employee memo proclaiming that 2014 would be a big year for the company.
Verizon leads the Dow higher
Verizon wasn't up as much as Apple, but was still leading its index higher. The Dow Jones component rallied more than 1% early on Monday, but unfortunately, there was little news to explain Verizon's move. On Friday, Verizon said it would issue transparency reports that would show how much consumer information it was giving to the U.S. government. While a positive development for privacy advocates, it doesn't seem likely to have a material impact on the wireless provider.
At any rate, Monday's gain adds to what has otherwise been a pretty mediocre year for Verizon. Shares are up just a bit more than 12% in 2013, about half of the Dow Jones' gain.
GSV Capital rallies alongside its holdings
GSV Capital is a publicly traded fund that invests in privately held, upcoming tech companies like Spotify and Dropbox. Prior to Twitter's IPO, it had been an indirect way for investors to buy Twitter shares. With Twitter only recently entering the public markets, GSV Capital still has a large stake -- about 17.6% of the fund.
With Twitter up more than 3% on Friday, GSV Capital was benefiting, rallying nearly 5%.
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The article These 3 Stocks Are Crushing the Dow Today originally appeared on Fool.com.Sam Mattera has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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