Record Setting Rally Continues For Dow Jones Industrial Average

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August 8, 2017 6:36am INDEXDJX:.DJI NYSE:DIA

INDEXDJX:.DJI | News, Ratings, and Charts

From Zacks: We kicked off another week of trading with the Dow Jones having posted ten record closes — a new record. Positive Q2 earnings results overall (Apple specifically) and better-than-expected economic data such as last Friday’s non-farm payroll numbers (complete with an historically low 4.3% Unemployment rate) have helped moved the index of 30 blue chips to all-time highs. Can this continue?

We’re not looking at quite as busy a week for econ data, or even high-profile earnings reports — although Thursday begins to final leg of earnings season, which brings the slew of publicly traded retailers to the fore with Macy’s (M) results before the bell that day. Otherwise, aside from a couple Fed presidents signaling the direction of FOMC policy ahead of its session coming up in September, and a CPI headline late this week, we begin to enter the seasonally dormant period on the trading calendar.

Monday morning, Tyson Foods (TSN – Free Report) beat earnings estimates by a penny at $1.28 per share on revenues of $9.85 billion, which also topped expectations of $9.48 billion. These represent growth of 6% and 4.8% year over year, respectively. Also, Tyson raised full-year earnings guidance to a range of $4.95-5.05, 13% growth year over year.

Anti-inflammatory treatment specialist Horizon Pharma (HZNP – Free Report) surged almost 5% on the day after surpassing the Zacks consensus of 12 cents per share in its earnings reports — 26 cents per share (accounting for stock-based compensation expenses) more than doubled expectations. Revenues of $289.5 million easily topped the $235 million anticipated. Chronic gout treatment Krystexxa grew 93% year over year, and the company upped its full-year sales guidance to over $1 billion per year.

After Monday’s closing bell, Marriott International (MAR – Free Report) reported subpar earnings, which followed a morning report that the global hotelier is teaming up with Alibaba (BABA – Free Report) , whereby users of the Internet giant will be able to book hotel rooms at Marriott directly. The BABA news inspired Marriott to new all-time highs, although the stock is pulling back this morning.

Europe is mixed in early trading Tuesday, while U.S. futures are looking flat. We’ll see if the Dow can put together yet another positive day and continue this historic run.

The SPDR Dow Jones Industrial Average ETF (NYSE:DIA) was unchanged in premarket trading Tuesday. Year-to-date, DIA has gained 13.09%, versus a 11.91% rise in the benchmark S&P 500 index during the same period.

DIA currently has an ETF Daily News SMART Grade of A (Strong Buy), and is ranked #4 of 75 ETFs in the Large Cap Value ETFs category.

This article is brought to you courtesy of Zacks Research.

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