Reuters | Feb 13, 2018 05:26PM ET
By Noel Randewich
(Reuters) - Wall Street climbed on Tuesday for a third straight session, buoyed by Amazon.com and Apple, while investors focused on inflation data on Wednesday that could upset the market's fragile recovery - or clear the way for additional gains.
Investors said data on U.S. consumer prices and retail sales due out on Wednesday will be key to where stocks move in the short term. Inflation and interest-rate fears sparked a stock market rout after U.S. jobs data was released on Feb. 2.
Rob Haworth, a senior investment strategist at U.S. Bank Wealth Management, said the market's recovery from a negative start earlier in the session was a good sign, but that it remained too soon to predict the market's return to stability.
"We think we're going to be volatile for a few more trading days at least, as the market sorts out what’s really been going on," Haworth said.
Among the biggest movers was sportswear retailer Under Armour (N:UAA), up more than 17.36 percent on strong quarterly sales, and AmerisourceBergen (N:ABC), up 9.30 percent after the Wall Street Journal reported Walgreens (O:WBA) was seeking to buy out the drug distributor.
Cleveland Fed President Loretta Mester, a voting member in the central bank's rate-setting committee this year, said the recent stock market sell-off and jump in volatility will not damage the economy's overall strong prospects.
Following a slump into correction territory last week, the S&P 500 has recovered 3.2 percent in the past three session. It remains down 7.3 percent from a record high on Jan 26 and is currently priced at levels first reached in early December.
The Nasdaq Composite (IXIC) added 0.45 percent to 7,013.51.
Nine of the 11 major S&P indexes rose, led by real estate <.SPLRCR>, up 0.54 percent.
Benchmark U.S. 10-year Treasury yields (US10YT=RR) dipped to 2.842 percent, shy of a four-year peak of 2.9020 percent hit on Monday.
The CBOE Volatility Index (VIX), a widely-followed measure of short-term stock volatility and seen as a contributing factor itself to the sell-off, was last at 25.3 points, half the 50-point mark it touched last week.
Following Wall Street's recent swings, the S&P 500 is down 0.4 percent for the year. The tech-heavy Nasdaq is up 1.6 percent in 2018.
On a day of heavy trading in healthcare companies, Henry Schein (O:HSIC) and Patterson Companies (O:PDCO) fell 6.64 percent and 5.19 percent, respectively, after news of a U.S. Federal Trade Commission complaint against the dental supply firms.
Investors in those and other healthcare distributors are weighing the possible ramifications of the AmerisourceBergen deal and a report of Amazon's (O:AMZN) push into the sector.
Of the 70 percent of the S&P 500 companies that have reported earnings, nearly 78 percent of them topped profit expectations, according to Thomson Reuters data. That is above the 72 percent average beat-rate in the past four quarters.
Advancing issues outnumbered declining ones on the NYSE by a 1.31-to-1 ratio; on Nasdaq, a 1.48-to-1 ratio favored advancers.
About 6.4 billion shares changed hands in U.S. exchanges on Friday, below the 8.4 billion daily average over the last 20 sessions.
Written By: Reuters
Fusion Media will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible. Currency trading on margin involves high risk, and is not suitable for all investors. Before deciding to trade foreign exchange or any other financial instrument you should carefully consider your investment objectives, level of experience, and risk appetite.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn’t bear any responsibility for any trading losses you might incur as a result of using this data.