Markets drifted lower in the last hour of trading on Monday, but fortunately for the S&P 500 and the Nasdaq, it wasn’t enough to prevent both indices from reaching fresh new closing highs by the last signal. The S&P added 0.43%, while the Nasdaq gained 0.90% confidently, climbing on the seventh day in the last eight sessions. The Dow was down 0.16% for the day due to the day’s drift that was dragged down by the financials. AmEx AXP, JPMorgan JPM and Goldman Sachs GS…
Tech stocks were up 1.09% on the day, while Real Estate, which had kept it on hold for much of last week, rebounded 1.15%. Apple AAPL earned 3% in a regular session, while both Prologis PLD and Equinix EQIX each added 1.8%. These stocks helped the S&P hit its 53rd all-time high in 2021 and the Nasdaq at its 32nd all-time close.
Unfinished home sales fell for the second straight month, for the first time last year, down -1.8% in July after an unverified -1.9% in June. Home sales have moved beyond the outer stratosphere this spring, up 51.7% in April. But supply chain disruptions caused by stock shortages as a result of emerging from the pandemic have spiked prices, leaving the housing market too rich for the blood of many.
Fed Chairman Jay Powell believes that such inflation in the economy remains transient; costs are expected to decrease following the normalization of supplies. Assuming that the market for potential home buyers continues to be of the same interest as a few months ago, we can see that the housing market will once again become a powerful engine of economic growth. While cooler months lie ahead, the search for new homes to buy also tends to cool off.
Enlarge video ZM The stock fell nearly 10% after the publication of its second-quarter profit and loss statement after Monday’s close, even as the company hit its ninth straight profit record since its IPO in early 2019. Earnings of $ 1.36 a share beat the Zacks consensus forecast by 20 cents. while revenues of $ 1.02 billion exceeded our analysts’ expectations of $ 990.2 million, up 54% from a year earlier.
The company said that 2,300 Zoom customers spent $ 100K or more in the quarter, indicating growth from businesses. This represents a + 131% increase over the same period a year ago. However, Zoom’s lower-than-expected earnings forecasts for Q3 appear to have triggered a sell-off. The slowdown looks like a danger sign for this company, which could benefit from the era of the household pandemic more than any other publicly traded capital.
Tomorrow we will see Consumer confidence and new Chicago PMI print for August as well Kees-Schiller house price index for June. None of these indicators are expected to impact the markets in any direction, especially given late summer trading volumes limiting current market conditions. But have two of the three major indices hit new all-time highs at the close? Not too shabby.
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