The stock market was headed for another gain Friday afternoon as the Nasdaq climbed 1.4%. The Dow Jones rose a more modest 0.6% while the S&P 500 was up 1%.
All three indexes were near their day’s highs. The Russell 2000 rose fractionally and lagged the other indexes. Crude oil jumped to $99.20 a barrel, but was off its intraday peak of $101.80. The yield on the 10-year Treasury was lower by 4 basis points at 2.64%
Energy and consumer discretionary sectors led the stock market gains.
Earnings Beat Spurs the Stock Market
Earnings beats by technology and energy giants at market close yesterday continued to fuel the broader market.
Amazon.com (AMZN) jumped over 13.5% on surging volume after the company reported strong revenue of $19.7 billion from Amazon Web Services and $8.8 billion ad revenues.
U.S. Stock Market Today Overview
Last Update: 1:48 PM ET 7/29/2022
Apple (AAPL) has thrust above its 200-day line after beating earnings estimates late yesterday. Its relative strength line is at a new high.
Energy bellwethers Exxon (XOM) and Chevron (CVX) also reported strong quarters, with revenues of $116 billion and $69 billion, respectively. Chevron’s shares spiked on higher volume and regained the 50-day line. Exxon’s shares are higher as well, forming a cup base.
Stocks moving the market
Aircraft components manufacturer and IBD Leaderboard stock Heico (HEI) jumped to a new high and surged past a buy point of 151.36. The buy range goes to 158.93.
Vermilion Energy (VET) has broken above its buy point of 25.51 after forming a cup base. The stock’s RS line is at a new high and the Relative Strength Rating is at a highest possible 99. The company is involved in oil and gas exploration in Europe and North America.
Medical research equipment services company Catalent (CTLT) continues its momentum above its 50- and 200-day moving line. But so far there’s no proper base.
New Fortress Energy (NFE) is building a first-stage cup base as it approaches a buy point of 52.47.
On the down side, Procter & Gamble (PG) is down over 6% after the company’s earnings report. The stock is on track for its worst day since March 20, when it fell 7.9%.
Market Rally Past Inflection Point; 3 Giants Flash Buy Signals
Economic Data Fuels Optimism
June consumer spending and income numbers came in slightly higher than expected. Personal consumption expenditures, a measure of inflation, also were a bit above forecasts.
According to LPL Financial Chief Economist Jeffrey Roach, high inflation has not affected consumer spending. It increased in June by 0.1% after adjusting for inflation. However, the economist also noted that people may have spent their savings and credit as they grappled with the steeply rising prices. Prices will likely start trending downward in July as gas and food prices fall off highs.
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