Stocks inched higher as investors sought out more details around tax reform and the Federal Reserve’s pace of interest rate hikes.
Slight gains in major indexes overshadowed a 7.5% decline in General Electric shares after the company cut full-year 2018 earnings guidance. The S&P 500, Dow Jones Industrial Average and Nasdaq Composite all climbed roughly 0.1%.
First up, the scoreboard:
- Dow: 23,442.55, +20.34, (+0.09%)
- S&P 500: 2,584.92, +2.62, (+0.10%)
- Nasdaq: 6,757.60, +6.66, (+0.10%)
- US 10-year yield: 2.40%, unchanged
- WTI crude oil: $US56.70, -0.04, -0.07%
1. General Electric’s turnaround plan has investors dumping the stock. The plan involves narrowing the focus of the company’s core businesses, as well as trimming the size of its board and cutting its dividend in half.
2. Qualcomm rejected Broadcom’s record-breaking $US105 billion takeover attempt. But the company’s decision to decline what would be the biggest-ever tech deal simply opens the door for the inevitable proxy battle that will ultimately decide the fate of the chipmaker.
3. Brookfield wants to buy mall owner GGP for $US14.8 billion. The Canadian investor, which already has a 34% stake in GGP, is offering $US23 a share for the outstanding shares it doesn’t already own.
4. Roku’s stock has more than doubled since its first earnings report — making its founder a billionaire. The shares have skyrocketed 125% over three days.
5. Chipotle’s stock dropped after an actor said he ‘almost died’ after eating at the chain. The company denied any link between Jordan’s illness and the chain, but the reaction shows just how susceptible Chipotle is to concerns about food safety.