Stocks rose on Wednesday as retail shares jumped on the back of strong quarterly earnings from retailer Macy’s.
The Dow Jones industrial average traded 71.06 points higher, with Nike as the best-performing stock in the index. The S&P 500 gained 0.48 percent as the consumer discretionary sector climbed 0.6 percent. The Nasdaq composite also advanced 0.68 percent.
Macy’s shares rallied 8 percent on stronger-than-predictable quarterly earnings. The company’s same-store sales, a key metric for retailers, rose 4.2 percent last quarter as compared to an estimate of 1.4 percent.
The SPDR S&P Retail ETF (XRT) jumped 1.08 percent on Macy’s move, and was on pace for its best day since April 10.
Macy’s CEO Jeff Gennette said Wednesday in a statement the company saw “continued healthy consumer spending,” noting it contributed to the company raising its fiscal full-year guidance for earnings and revenue.
The major averages looked to rebound from losses seen in the previous session. The S&P 500 and Nasdaq dropped 0.7 percent and 0.8 percent, respectively, on Tuesday, while the Dow snapped an eight-day winning streak.
Pressuring equities on Tuesday was a surge in interest rates. The benchmark 10-year note yield hit 3.095 percent on Tuesday, its highest level since 2011, while the two-year note yield traded around levels not seen in a decade.
Tom Essaye, founder of The Sevens Report, said in a note that the rise in yields coupled with a surging dollar caused “causing a natural digestion given the near-6% straight-line rally in stocks over the past two weeks.”
The major indexes are up sharply this month, with the S&P 500 and Dow having gained more than 2 percent through Tuesday’s close. The Nasdaq, meanwhile, was up 4 percent in that period.
Elsewhere in corporate news, Teva Pharmaceutical rose more than 2 percent after Warren Buffett’s Berkshire Hathaway revealed it raised its stake in the company. (Source: CNBC)
Stock in Focus: CenturyLink Inc (NYSE: CTL)
At 11:45 a.m. EST, CenturyLink Inc (NYSE: CTL) has grabbed attention from the analysts when it experienced a change of -0.98% to trade at $19.18. A total of 1,992,625 shares exchanged hands during the intra-day trade contrast with its average trading volume of 11.29M shares, while its relative volume stands at 0.59. Relative volume is the comparison of current volume to average volume for the same time of day, and it’s displayed as a ratio. If RVOL is less than 1 it is not In Play on this trading day and Investors may decide not to trade it. If RVOL is above 2 it is In Play and this is more evidence Investors ought to be in the name. When stocks are *very* In Play one can see a RVOL of 5 and above. The higher the RVOL the more In Play the stock is.
Volatility is simply a measure of the predictable daily price range—the range in which a day trader operates. More volatility means greater profit or loss. After a recent check, CenturyLink Inc (NYSE: CTL) stock is found to be 2.97% volatile for the week, while 2.55% volatility is recorded for the month.
The stock has a market cap of $19.24B and the number of outstanding shares has been calculated 993.04M. Based on a recent bid, its distance from 20 days simple moving average is 4.11%, and its distance from 50 days simple moving average is 9.08% while it has a distance of 6.93% from the 200 days simple moving average. The company’s distance from 52-week high price is -30.53% and the current price is 45.73% away from 52-week low price. The company has Relative Strength Index (RSI 14) of 61.38 together with Average True Range (ATR 14) of 0.52.
Past 5 years growth of CTL observed at -18.10%, and for the next five years the analysts that follow this company is expecting its growth at -12.58%. The stock’s price to sales ratio for trailing twelve months is 0.99 and price to book ratio for the most recent quarter is 0.88, whereas price to cash per share for the most recent quarter are 38.39. Its quick ratio for the most recent quarter is 0.90. Analysts mean recommendation for the stock is 2.60. This number is based on a 1 to 5 scale where 1 indicates a Strong Buy recommendation while 5 represents a Strong Sell.
Disclaimer: Any news, report, research, and analysis published on Alphabetastock.com are only for information purposes. Alpha Beta Stock (ABS) makes sure to keep the information up to date and correct, but we didn’t suggest or recommend buying or selling of any financial instrument unless that information is subsequently confirmed on your own. Information in this release is fact checked and produced by competent editors of Alpha Beta Stock; however, human error can exist.