Markets were able to recover on Tuesday after several positive economic reports were released. Consumer sentiment hit a five year high in June and orders for durable goods increased 3.6%. Sales of new homes also hit a five year high. Housing market companies Lennar Corp (LEN) and PulteGroup Inc. (PHM) saw shares rise on this news. Fed chatter died down slightly as many realized that a taper would not occur for quite some time. Carnival Corp. (CCL) traded higher after announcing it would be replacing long-time CEO. Netflix (NFLX) was downgraded to “underperform” on Tuesday and shares fell just over 2%. The US dollar gained against the yen and most other major currencies.
Word on the Street
- Consumer confidence in the US rises to a five-year high in June.
- New US home sales jump in May to the highest since mid-2008.
- Oracle (ORCL) and Salesforce (CRM) team up against competitors.
- Walgreen (WAG) reports higher profit but misses estimates for Q3.
- Financials gain on Tuesday, led by Bank of America (BAC).
- Peter Thiel and Mark Andreessen debate innovation.