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Stock market extends record run, S&P 500 hits 3200
19-Dec-19 16:10 ET
Dow +137.68 at 28376.87, Nasdaq +59.48 at 8887.23, S&P +14.23 at 3205.37

https://www.briefing.com/stock-market-update

[BRIEFING.COM] The S&P 500 closed above the 3200 level for the first time on Thursday in a modest 0.4% advance. The Nasdaq Composite (+0.7%) and Dow Jones Industrial Average (+0.5%) also extended their reach into record territory. The Russell increased 0.3%.

Starting with the macro headlines, the historical impeachment vote in the House was widely discussed, but investors dismissed the news as having any consequences for the market. Staying in Washington, Treasury Secretary Mnuchin said the USMCA deal could add 0.5% to GDP, which may have supported the market's already positive economic outlook.

Today's session, though, appeared to just be a continuation of the market's bullish bias. Nine of the 11 S&P 500 sectors finished in positive territory, with the real estate sector (+1.1%) continuing to benefit from a bargain-hunting mindset. Conversely, the energy (-0.1%) and utilities (-0.1%) sectors finished lower.

Micron (MU 54.53, +1.49, +2.8%), Canagra Brands (CAG 33.66, +4.61, +15.9%), and Darden Restaurants (DRI 109.05, -7.26, -6.2%) all beat profit estimates, but the latter disappointed investors with its same-restaurant sales growth.

Cisco Systems (CSCO 47.88, +1.24, +2.7%) and Johnson & Johnson (JNJ 145.35, +2.16, +1.5%), two stocks that have underperformed this year, were both upgraded to Overweight from Equal Weight at Barclays.

In corporate deals, Match Group (MTCH 77.35, +6.11, +8.6%) and InterActiveCorp (IAC 238.41, +17.20, +7.8%) agreed to separate. Live Nation (LYV 69.83, +5.88, +9.2%) reportedly reached a tentative settlement with the Department of Justice over its ticketing practices.

U.S. Treasuries edged higher, pushing yields slightly lower across the curve. The 2-yr and 10-yr yields both declined two basis points each to 1.60% and 1.91%, respectively. The U.S. Dollar Index finished little changed at 97.39. WTI crude rose 0.6% (+0.37%) to $61.30/bbl.

Reviewing Thursday's batch of economic data, which featured the Existing Home Sales report for November:

Existing home sales declined 1.7% m/m in November to a seasonally adjusted annual rate of 5.35 million units (Briefing.com consensus 5.45 million) from a downwardly revised 5.44 million (from 5.46 million) in October.
The key takeaway from the report is that home sales continue to be held back by the same forces: a lack of available supply and rising prices.
Initial claims for the week ending December 7 rose by 49,000 to 252,000 (Briefing.com consensus 212,000). That is the highest level of initial claims since September 30, 2017. Continuing claims for the week ending November 30 decreased by 31,000 to 1.667 million.
The key takeaway from the report is that the latest figure is outside the range of what has become typical reporting for this series, so it may be discounted as aberrant; however, the slowly rising uptick in the four-week moving average for initial claims implies that we may have seen the bottom for this cycle.
The Conference Board's Leading Economic Index (LEI) was unchanged in November (Briefing.com consensus +0.1%) following three straight monthly declines. October was revised to -0.2% from -0.1%.
The key takeaway from the report is the understanding that the LEI went negative (-0.2%) for the six-month period ending November versus growth of 0.3% over the previous six months.
The Philadelphia Fed Index for December came in at 0.3 (Briefing.com consensus 8.0), well below the 10.4 reading in November.
The current account deficit for the third quarter totaled $124.1 billion (Briefing.com consensus -$122.0 billion). The second quarter deficit was revised to $125.2 billion from $128.2 billion.

Looking ahead, investors will receive Personal Income and Spending for November, the third estimate for Q3 GDP, and the revised University of Michigan Index of Consumer Sentiment for December on Friday.

Nasdaq Composite +33.9% YTD
S&P 500 +27.9% YTD
Russell 2000 +23.6% YTD
Dow Jones Industrial Average +21.7% YTD

Market Snapshot
Dow 28376.87 +137.68 (0.49%)
Nasdaq 8887.23 +59.48 (0.67%)
SP 500 3205.37 +14.23 (0.45%)
10-yr Note +1/32 1.916
NYSE Adv 1727 Dec 1144 Vol 971.8 mln
Nasdaq Adv 1836 Dec 1296 Vol 2.4 bln

Industry Watch
Strong: Real Estate, Communication Services, Information Technology
Weak: Utilities, Energy

Moving the Market

-- S&P 500 closes above 3200 in modest advance

-- Continuation trade of the market's bullish bias; relative strength in the real estate sector

-- Impeachment remained a nonevent

WTI crude settles above $61
19-Dec-19 15:25 ET
Dow +113.00 at 28352.19, Nasdaq +51.41 at 8879.16, S&P +11.94 at 3203.08

[BRIEFING.COM] The S&P 500 is on pace to close at another record high, as it trades higher by 0.4%.

One last look inside the S&P 500 sectors shows real estate (+1.0%) and communication services (+0.7%) leading the advance, while the energy (-0.1%), utilities (-0.1%), and financials (-0.1%) sectors hold modest losses.

WTI crude settled up $0.37 (+0.6%) to $61.30/bbl.