To finish off the week, the S&P 500 closed 0.18% lower and the Dow was higher by 0.08%. Steel, semiconductors, retail, and materials underperformed in the quiet session and homebuilders, managed care, and utilities were the leaders.
Healthcare was led today by managed care and hospitals. The group was helped by data that showed hospital volumes were lower than expected in the first quarter. Edwards Lifesciences had disappointing earnings and put the med/tech area of the sector under pressure. Biotechnology stocks saw some profit taking today.
Internet stocks came under pressure as Amazon reported disappointing revenue growth after the close. Amazon lost more than 7% on the day. Expedia and Priceline are trading lower after Expedia’s earnings disappointed. eBay bucked the trend and finished the day higher.
Energy traded lower today as natural gas closed down 2% and crude was off 1.5%. Chevron was a leader in the space. Chevron was higher by 1.3% after they reported stronger than expected quarterly earnings.
Homebuilders were a leader today. DR Horton released much better than expected quarterly earnings and created a buying frenzy in homebuilding stocks.
Financials traded lower after a strong couple of days. Lazard was a leader in the brokerage space, trading higher by 2% after earnings. Banks and brokers were off across the board, albeit slightly. There was little in the way of news in the financial sector today as most of the leading names in the space reported earnings last week.
University of Michigan Consumer Sentiment Index data was released this morning. The reading came in at 76.4 versus a consensus estimate of 72.4.
Two industrial stocks in the Dow were leaders today. Boeing was higher by 1.3% and GE climbed by 1.2%. Both stocks reported earnings this week and were quote volatile. Buyers came in to support these two leaders today and drove them higher in a flat market.
Source: PFS Group
