The
S&P 500 broke its four-day losing streak Tuesday, with positive corporate
earnings and bargain hunting helping push the index higher. The Dow Jones
Industrial Average gave up earlier gains to close lower for the 5th
straight day. But both indexes are up 15 percent for the year.
The Nasdaq rose 24.5 points, or 0.68%, to 3614. So far
this year, the tech-heavy index has gained 19%.
On Monday, US markets closed
lower for a fourth straight day over worries about the end of the Federal
Reserve's bond-buying program. Those losses affected global markets, where
Asian and European shares took a beating.
Better than expected corporate
earnings helped bolster a spotty market. Home
Depot (HD) reported stronger-than-expected quarterly results helped by
the recovery in the housing sector. Best
Buy (BBY) saw its cost-cutting measures take
hold with a rise in profits despite mediocre sales. The stock has now
gained 185% so far this year.
J.C. Penney (JCP) posted a big loss that was even worse than the forecasts. But, the embattled
retailer reported same store sales, a key measure for retailers, were slightly
better than during the first quarter of 2013. Shares retreated a bit from their
highs of the day but were still up 6% at the close.
But not all the reports from
retailers were good. Barnes & Noble (BKS) reported a loss
and said revenue from its Nook tablet business was down more than 20% from the same quarter last year.
Besides earnings, there was
little market-moving news Tuesday as investors continue to speculate about when
the U.S. will begin to tighten monetary policy. The Federal Reserve will release
meeting minutes on Wednesday that may contain clues as to when the central bank
will begin tapering its $85 billion a month in bond purchases.