Retail sales data is boosting investor sentiment
Better-than-expected retail sales data for July is helping to alleviate recession fears this afternoon. The Dow Jones Industrial Average and Nasdaq Composite Index (IXIC) are boasting hefty triple-digit leads, while the S&P 500 Index (SPX) sports a solid gain of its own. The three major indexes also closed the bear gap that came on the heels of dismal jobs data earlier this month, with traders hopeful a soft economic landing is still in the cards.
Continue reading for more on today's market, including:
- Beat-and-raise pushes Walmart stock to record high.
- Ulta Beauty stock pops on Berkshire Hathaway stake.
- Plus, Cisco announces layoffs; TSLA enjoys tailwinds; and AT&T stock brushes off bull note.
Cisco Systems Inc (NASDAQ:CSCO) is seeing unusual options activity today, with with 85,000 calls and 34,000 puts exchanged so far, seven times the volume typically seen at this point. The most active contract by far is the August 50 call. CSCO is up 8.3% to trade at $49.22 at last check, pacing for a third-straight gain and best single-day percentage pop since March 2020, after the tech giant reported a fiscal first-quarter earnings and revenue beat. Additionally, Cisco announced it will cut 7% of its workforce. For 2024, CSCO remains down 2.7%.
Tesla Inc(NASDAQ: TSLA) stock is surging today, last seen up 6.5% to trade at $214.50. The electric vehicle (EV) stock is enjoying broader market tailwinds as it bounces off its lowest level since June, though the 20-day moving average appears ready to cap today's gains. TSLA sports a 23% three-month lead, but already shed 13.5% this year.
AT&T Inc (NYSE:T) is among today's SPX underperformers, last seen down 2.1% at $19.20 and brushing off a price-target hike to $18 from $17 at Moffett Nathanson. While the shares have cooled off from an Aug. 2, 52-week high of $19.99, the 40-day average has been guiding them higher since May. In the last 12 months, AT&T stock rose over 36%.