S&P, Nasdaq Brush Off Trade Noise to Nab Record Highs

Kudlow warned a big trade deal may not be made next week

Karee Venema

Jul 26, 2019 at 4:30 PM

Earnings drove stocks higher today, with positive reactions for Alphabet (GOOGL) and Starbucks (SBUX) pushing the S&P and Nasdaq to new record highs. The Dow brushed off an early dip to swing higher, too, led by strong sessions for Coca-Cola (KO) and Procter & Gamble (PG). The upside came even as National Economic Council Director Larry Kudlow said a "grand deal" likely won't occur at next week's trade negotiations between the U.S. and China, while traders also digested a tame gross domestic product (GDP) update ahead of next week's Fed meeting.

Continue reading for more on today's market, including:

Twitter bulls won big after earnings.
Signal says short this energy stock ahead of earnings.
Plus, time to buy puts on this bank stock; Mattel soars on revenue shocker; and a health insurance stock that's nearly tripled this year.

The Dow Jones Industrial Average (DJI - 27,192.45) closed up 51.5 points, or 0.2%. Coca-Cola (KO) paced the 18 advancers with its 2.1% gain. For the week, the Dow added 0.1%.

The S&P 500 Index (SPX - 3,025.86) hit a record intraday high of 3,027.98, settling just below here with a 22.2-point, or 0.7%, gain. The Nasdaq Composite (IXIC - 8,330.21) settled just below its all-time intraday peak of 8,339.63, up 91.7 points, or 1.1%. Week-over-week, the SPX and IXIC added 1.7% and 2.3%, respectively.

The Cboe Volatility Index (VIX - 12.16) shed 0.6 point, or 4.6%, to settle at 12.16. The market's "fear gauge" plunged 15.9% on a weekly basis.

Closing Indexes Summary July 26

NYSE and Nasdaq Stats July 26

5 Items on our Radar Today

Warren Buffett's Berkshire Hathaway (BRK.A) increased its holding in Bank of America (BAC) to 950 million shares -- representing a 10% stake in the financial firm -- in the latest reporting period, up from 896.2 million from the previous reporting period. BRK.A is BAC's biggest shareholder, with its stake valued at roughly $29.3 billion, based on today's close at $30.77. (MarketWatch)
T-Mobile (TMUS) was given the greenlight from the U.S. Justice Department to proceed with a $26 billion merger with fellow telecom Sprint (S). This follows Sprint's divestiture of its prepaid wireless businesses to Dish Network (DISH). The deal still can't be finalized, though, until an anti-trust lawsuit opposing the merger filed by 13 attorneys general and the District of Columbia is resolved. (CNBC)
Time to buy puts on this bank stock.
Mattel shares soared on a revenue surprise.
This health insurance stock has nearly tripled this year.

Data courtesy of Trade-Alert

Oil Gains on the Week as Gold Slips

Oil for September delivery edged up today, settling with an 18-cent, or 0.3%, gain at $56.20 per barrel. Week-over-week, black gold rose 0.8%.

Gold finished a choppy session higher, with the August-dated contract adding $4.60, or 0.3%, to settle at $1,419.30 an ounce. For the week, the malleable metal shed 0.5%, snapping a two-week win streak.

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