This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

S&P 500 Quietly Breaks Record High as Markets Drift Up

NEW YORK ( TheStreet) -- Markets made up for slight losses earlier in the day with the Dow Jones Industrial Average and S&P 500 ending higher and the Nasdaq off only slightly. 

By market close, the Dow crept 0.09% higher to 16,921.46 and the Nasdaq slipped 0.08% to to 4,359.33. The S&P closed its second consecutive day of record-breaking highs, though up only 0.13% to 1,959.48.

Worries about Iraq continued to dampen general upbeat sentiment most recently brought on by the Federal Reserve's support interest rate guidance on Wednesday and a drop in U.S. jobless claims released earlier in the day.

Schaeffer's Investment Research senior equity strategist Joe Bell believes recent gains have a solid foundation, rather than being based on unsupported confidence. "We generally see these big market tops when you have that overwhelming amount of optimism and euphoria. We continue to see signs that we're not, from a longer-term perspective, seeing that euphoria or over-the-top optimism," he told TheStreet. 

Peter Cardillo, chief market economist at Rockwell Global Capital, also believes the bull-market fundamentals remain sound. His short-term intermediate objective is for the S&P 500 to remain at 1,965 even as fears over the situation in Iraq grow, given that leading indices have not departed far from their record highs amid the turmoil.

Remarks from the Federal Open Market Committee infused U.S. markets with renewed vigor on Wednesday. The benchmark index S&P 500 booked a new record high, fueled by the Fed's assurances this recovery still has legs. Federal Reserve Chair Janet Yellen indicated the world's most powerful central bank will keep interest rates low for some time even as it pared its monthly bond buying program by $10 billion to $35 billion.

Initial jobless claims for the week ended June 13, fell 6,000 to 312,000. The Philadelphia Fed's manufacturing index jumped to 17.8 in June from 15.4 in May. It's the highest reading of activity since last September.

The instability in Iraq, however, was offsetting some of the cheerfulness. President Obama said Thursday he would dispatch as many as 300 military advisers to the country to stabilize the volatile political landscape. Addressing reporters, Obama reaffirmed his stance that he would not send soldiers to quash the conflict.

In corporate news, BlackBerry (BBRY - Get Report) spiked 9.7% as a narrower quarterly net loss indicated its turnaround plans were working. First-quarter net losses of 11 cents a share compared to analysts' estimates of losses of 26 cents a share. The company posted net losses of 13 cents a share in the year-ago period.

One of the most actively traded stocks on Thursday, Rite Aid (RAD - Get Report), was sinking 3.5% after the drugstore chain reported first-quarter profits half that of a year earlier.

The board of American Apparel (APP) voted to oust founder Dov Charney as chairman and notified him of its intent to remove him as president and CEO, following a contractually required 30-day period before he can be terminated. Shares surged 6.9% to 68.4 cents.

After the bell, shares of Oracle (ORCL) are sinking 6.2%. The company reported earnings of 92 cents a share and revenue of $11.32 billion in its fourth quarter, below Wall Street estimates of 95 cents a share and $11.48 billion.

-- By Keris Alison Lahiff and Andrea Tse in New York

June 19 Premarket Briefing: 10 Things You Should Know

European Stocks Stage a Relief Rally

S&P 500 Lands New Record High as Fed Says Recovery Still Has Legs

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
BBRY $10.81 0.46%
RAD $7.98 -2.33%
AAPL $128.46 -1.50%
FB $78.97 -1.79%
GOOG $558.40 0.53%

Markets

DOW 18,132.70 -81.72 -0.45%
S&P 500 2,104.50 -6.24 -0.30%
NASDAQ 4,963.5270 -24.3630 -0.49%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs