By Yasin Ebrahim
Investing.com – The Dow closed near record highs Tuesday and the S&P 500 hit a new high, driven by rising energy and health care stocks.
Energy led the broader market higher, led by nearly 8% surge in the Pioneer Natural Resources (NYSE:PXD) after oil and gas reported quarterly earnings that fell just short of estimates, but its capital return strategy drew a positive reaction from Wall Street.
“PXD has significantly lagged peers Eog Resources/ConocoPhillips year to date following the DP acquisition, but the shift in the return of capital strategy is a step in the right direction on potentially recapturing some relative performance into year end,” Tudor, Pickering, Holt & Co. said in a note.
Industrials also supported the broader market melt up as airlines stocks pared losses despite concerns about the threat of the delta variant of Covid-19 global travel.
The earnings front, meanwhile, served up mixed quarterly results.
Alibaba Group (NYSE:BABA) fell 1% after reporting second-quarter earnings that topped earnings, but revenue fell short as the e-commerce giant continues to ramp-up investment in growth opportunities.
In health care, Eli Lilly and Company (NYSE:LLY) ended nearly 4% higher after reporting mixed quarterly results as earnings of $1.87 fell just short of expectations but revenue of $6.74 billion topped estimates.
Large cap tech, with exception of Facebook continued to climb higher.
In other news, Robinhood Markets (NASDAQ:HOOD) surged 24% to rise above its initial public offering price of $38 for the first time as ARK Invest’s Cathie Wood is understood to have been buying shares of the company.
S&P 500 Rides Energy, Health Care to Close at Record
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.