iSectors’ Chief Investment Officer comments to Fred Imbert, CNBC post State of Union Address
Posted on: 01/31/2018
iSectors, Chuck Self’s take on the market action during the State of the Union: Dow jumps 174 points as stocks rebound from 2-day sell-off.
U.S. stocks rose on Wednesday, capping off a strong start to 2018. The Dow Jones industrial average and S&P 500 notched their best monthly performances since March 2016.
The Dow gained 72.5 points to close at 26,149.39, with Boeing rising 4.9 percent and hitting an all-time high. The S&P 500 rose 0.1 percent and finished at 2,823.81, with real estate as the best-performing sector. The Nasdaq composite advanced 0.1 percent to close at 7,411.48.
For the month, the Dow and S&P 500 posted gains of 5.6 percent and 5.8 percent, respectively. The Nasdaq meanwhile, rose 7.3 percent for the month, its best monthly gain since October 2015.
Of the S&P 500 companies that had reported as of Tuesday morning, 80 percent have posted better-than-expected earnings, while 81 percent have beaten top-line estimates, according to Thomson Reuters I/B/E/S.
On the political front, investors digested President Donald Trump’s State of the Union address. The overall theme of the incumbent’s speech was “a safe, strong and proud America,” with Trump touching upon topics such as immigration, bipartisan cooperation, infrastructure and the economy.
“The biggest reaction was towards the end, when it became clear there weren’t going to be any surprises,” said Chuck Self, chief investment officer of iSectors. He noted stock futures started to climb around that time Tuesday night.