By Victor Reklaitis and Barbara Kollmeyer, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks notched modest gains in
early trade Tuesday, with the S&P 500 again pushing above the
milestone level of 2,000.
The benchmark hit an intraday record after a
better-than-expected reading on consumer confidence, and investors
took a mixed report on durable-goods orders in stride.
The S&P 500 (SPX) gained 3 points, or 0.2%, to 2,001 after
touching an intraday record just shy of 2,003. The Dow Jones
Industrial Average (DJI) advanced 46 points, or 0.3%, to 17,123,
while the Nasdaq Composite (RIXF) tacked on 4 points, or 0.1%, to
4,561.
Today's economic data: Orders for U.S. durable goods skyrocketed
a record 22.6% in July because of a surge in contracts for Boeing
Co. (BA) aircraft, but bookings actually fell for most other
industries, the Commerce Department reported.
Meanwhile, an August reading on consumer confidence came in at
92.4, above forecasts for 88.5, and U.S. home prices rose 1% in
June.
Some analysts expect overseas headlines are more likely to slow
down stocks, rather than U.S. economic data. It's "any change in
the geopolitical landscape that has the potential to cause the most
volatility," said Joao Monteiro, analyst at Valutrades, in a note.
See: Peace-talk hopes diminished for Russia/Ukraine and U.S.
military preps for surveillance flights over Syria.
More on S&P 500 and 2,000: The S&P 500 topped 2,000 for
the first time on Monday but finished up 0.5% at 1,997.92. Plenty
of people are asking where it goes from here. Read: The S&P 500
topped 2,000. Should you care?
Bill McNamara, technical analyst at Charles Stanley, said the
S&P 500 continues to be supported by its long-term uptrend and
200-day moving average, with "little in the technical picture to
suggest that this situation is about to change."
"In fact, although the index is starting to look somewhat
overbought -- its 14-day MA (moving average) has pushed up to 65%
-- its recent surge in upside momentum looks set to continue and
further all-time highs (and a close above 2,000) cannot be too far
away," he said in a note on Tuesday.
Movers and shakers: Best Buy Co. (BBY) shares fell nearly 6%
amid a sluggish outlook. The struggling retailer is the day's worst
performer in the S&P 500.
Burger King Worldwide Inc. (BKW) and Canada-based Tim Hortons
Inc. (THI) confirmed Tuesday that they plan to combine to create a
new company in an $11 billion deal. They are getting financing help
from Warren Buffett's Berkshire Hathaway Inc. (BRK/A). Burger King
shares rose 0.8%, while Tim Hortons' U.S.-listed shares gained
9%.
Shares of Kite Pharma Inc.(KITE) rose 17.5% after the biotech
reported the majority of patients responded positively to its
cancer-drug candidate.
Follow more of the day's notable stock moves here.
Other markets: The Stoxx Europe 600 rose, while the FTSE 100
came back from a U.K. holiday to play catch-up with gains it missed
out on Monday. Asian stocks finished mixed. Gold(GCV4) found some
renewed strength as the dollar (DXY) eased.
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