Stock Market Today: S&P 500 in Record-Marking Zone as Chipotle, Comcast Boost Profits
NEW YORK ( TheStreet) -- U.S. stocks moved back into record-making territory on Tuesday as positive earnings overshadowed continued unease in Eastern Europe and the Middle East. Boosting the index, Chipotle
The Dow Jones Industrial Average closed up 0.36% to 17,113.54. The S&P 500 was up 0.5% to 1,983.53. The Nasdaq gained 0.71% to 4,456.02.
In international news, the remains of the 298 victims of the Malaysian Airlines crash in eastern Ukraine have been moved into government territory, while pro-Russian rebels, accused of downing the jet, have surrendered the black box recording to Malaysian authorities. The moves have calmed market anxieties somewhat.
Separately, no progress toward peace has been made along the Gaza Strip as Israel said no ceasefire was close in a conflict which has amassed a death toll of 600 in little over two weeks. U.S. Secretary of State John Kerry is currently meeting with U.S. and U.N. officials, including U.N. Secretary General Ban Ki-moon, in Egypt.
U.S. stock markets closed lower Monday but recovered from deep losses suffered over the morning session, a product of geopolitical tensions in Ukraine and the Gaza Strip pulling markets lower.
While bulls continue to point to the resiliency of U.S. stocks as the S&P 500 persistently makes new highs, short-term bears such as Michael Pento, president and founder of Pento Portfolio Strategies, are expecting the long-awaited correction to be triggered finally by the fourth quarter. A correction is defined as a reversal of 10% or more.
"The ending of QE in October should produce a selloff in the magnitude of 20% plus," Pento forecast. "QE1 one ended with a 13% drop and QE2 ended with a 17% drop in the S&P 500. I don't see why it would be different this time around."
Comcast kicked off a busy day for earnings, reporting net income of 75 cents a share, 3 cents higher than estimates, and revenue 3.5% higher year over year to $16.84 billion. Shares gained 1.5% to $54.63.
Verizon added 0.55% to $50.98 after beating earnings expectations of 90 cents a share by a penny. Revenue jumped 5.7% to $31.5 billion.
Chipotle, which reported Monday evening, earned $3.50 a share, 41 cents higher than forecasts, and generated revenue 29% higher to $1.05 billion. Shares closed 11.8% higher to $659.77.