Dow Jones (DJIA), NASDAQ, and S&P 500 Post All-Time Closing Highs
The stock markets ended at record highs on Monday on account of the jump in oil prices. There is renewed optimism that the Organization of the Petroleum Exporting Countries (OPEC) will agree to cut output.
The S&P 500 index gained 16 points (or 0.8%) and closed at 2,198.18, which is more than its previous high recorded in August. All the sectors—except real estate—posted gains, with energy stocks leading the way.
Among the stocks in the news, one of the biggest gainers was Headwaters Inc (NYSE:HW) stock, which soared by 17%. One of the top losers was Tyson Foods, Inc. (NYSE:TSN) stock, which went down by more than 14%.
The Dow Jones Industrial Average (DJIA) gained about 89 points (or 0.5%) and closed at 18,956.69. The best-performing stocks were E I Du Pont De Nemours And Co (NYSE:DD), which gained 1.8%, and Apple Inc. (NASDAQ:AAPL), which went up by 1.5%. The NASDAQ Composite Index went up by 47 points (or 0.9%) to close at 5,368.86.
Tyson Foods Stock Plunges on Guidance
Tyson Foods, Inc. plunged by more than 14% after disappointing investors with lower-than-expected quarterly profits. The meat company’s reported sales in its chicken business were way below expectations. Tyson Foods, Inc. also provided disappointing earnings outlook for the year ahead.
The company also confirmed that CEO Donnie Smith will be leaving by the end of the year. He will be replaced as CEO by current President Tom Hayes.
Headwaters Stock Surges on This News
Headwaters Inc (NYSE:HW) shares soared by 17%, after Australia’s Boral Limited (ASX:BLD) announced a $1.86-billion deal to acquire the building products company. Boral said that this was the best time to increase exposure to the U.S. market, as there was a lot of positive momentum building up. President-elect Donald Trump has promised to increase spending on infrastructure, which will boost construction activities throughout the country.
Headwaters is one of the largest sellers of fly ash in the U.S. and Boral shall acquire the company for $24.25 per share in cash.
Stock Market News Today
Focus will be on Headwaters Inc’s HW stock and Tyson Foods’ TSN stock, and where they are headed next.
Moreover, Palo Alto Networks Inc (NYSE:PANW) is likely to be in the limelight in the stock market. Palo Alto Networks Inc reported mixed earnings and the stock is down 12% in pre-market trading. A rise in expenses widened the company’s losses. The network and enterprise security company issued lower-than-expected guidance for the second quarter.
Stock markets are on a new high as earnings have been strong due to the optimism led by Trump’s policies. There might be some profit-taking in the Dow Jones and the S&P 500 Index in Tuesday’s session. A lot of stock-specific action is expected as a number of companies are set to report their quarterly results.