After Market: All Signs Pointed Upward, and Stocks Followed

DailyFinance Staff
Updated

A trio of upbeat economic reports drove the market higher Tuesday, with the S&P capturing another record. Reports on consumer confidence, orders for durable goods and home prices all pointed towards better economic growth.

The Dow Jones industrial average (^DJI) gained 69 points, the Nasdaq composite (^IXIC) rose 51, and the Standard & Poor's 500 index (^GPSC) added another 11 points to the record high set Friday.

Apple (AAPL), the biggest stock on the S&P, rose nearly 2 percent to its highest level since it peaked about a year and a half ago. Several reports say the company is about to roll out new software that would allow the iPhone to control household appliances, lights and thermostats -- what's becoming known as the "internet of things." Apple now has a market value of more than half a trillion dollars.

Among other Nasdaq leaders, Google (GOOG) gained more than 2 percent, Facebook (FB) rose 3½ percent and Priceline (PCLN) gained 5 percent, but Amazon (AMZN) and Netflix (NFLX) both ended lower.

%VIRTUAL-WSSCourseInline-876%Biotechs Biogen (BIIB), Celgene (CELG), and Regeneron (REGN) all gained about 3½ percent and Jazz Pharmaceuticals (JAZZ) rose 5 percent. But Durata Therapeutics (DRTX) dropped more than 10 percent. Analysts says it's one of those "buy on the rumor, sell on the news" stories. The company received FDA approval for a key drug. Even after today's drop, Durata has still doubled in price over the past year.

But gold stocks lost some of their luster as the precious metal got hammered. AngloGold (AU) fell 6½ percent.

Elsewhere, Bank of America (BAC) rose 3½ percent after resubmitting its capital plan to the Federal Reserve. It was one of the few big banks to have its plan rejected earlier this year.

Aeropostale (ARO) jumped 15 percent after completing a $150 million financing pact with a private equity firm, but shares of the teen retailer are still down 73 percent from a year ago.

Shares of Spherix (SPEX), an intellectual property firm, nearly doubled in price after a Senate committee dropped consideration of a patent reform bill that could have decimated its business.

Barnes & Noble (BKS) rose 9 percent after a Barron's report said the stock could double in price.

And Analog Devices (ADI) fell 12 percent after lowering its earnings outlook.

What to Watch Wednesday:

  • Germany's Federal Labor Agency releases May unemployment figures.

  • The European Commission releases a long-range plan for securing the EU's energy supplies.

-Produced by Drew Trachtenberg.

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