Dow, S&P Hit New Highs Ahead Of Goldman Sachs (GS) Earnings


by IBTimesTV

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Wall Street closed slightly higher on Monday, with the Dow and S&P 500 closing at new highs, after data painted a mixed picture of the U.S. economy as retail sales rose less than expected, while growth in New York State’s manufacturing sector accelerated in July.

China's economic growth slowed in the second quarter to 7.5 percent year-on-year, the National Bureau of Statistics reported, which is a slowdown from 7.7 percent gross domestic product (GDP) growth in the first quarter.

In addition, data showed U.S. retail sales increased 0.4 percent in June, the Commerce Department said on Monday. Economists polled by Reuters had forecast retail sales to rise 0.8 percent in June.

Separate U.S. macro data showed factory growth in New York State’s manufacturing sector accelerated in July as new orders and employment improved. The New York Fed's "Empire State" general business conditions index rose to 9.46 from 7.84 in June, beating expectations for 5.00. A reading above zero indicates expansion.

On the earnings front, Citigroup Inc (NYSE: C) reported a stronger-than-expected rise in second-quarter earnings on the heels of JPMorgan Chase & Co. (NYSE: JPM) and Wells Fargo & Co (NYSE: WFC) beating Wall Street expectations in the previous session. Citigroup’s adjusted net income rose to $3.89 billion, or $1.25 per share, in the second quarter, from $3.08 billion, or $1.00 per share, a year earlier.

Before the bell Tuesday, investment bank Goldman Sachs Group Inc. (NYSE: GS) is expected to report FY 2013 second-quarter EPS of $2.82 on revenue of $8.03 billion, compared with a profit of $1.78 a share on revenue of $6.63 billion in the year-ago period, according to analysts polled by Reuters. 

On the economic calendar for Tuesday, investors will look to the consumer price index, core CPI and industrial production for June, along with the National Association of Home Builder’s Index for July.

The Dow Jones industrial average .DJI was up 19.96 points, or 0.13 percent, to end at 15,484.26. The S&P 500 Index .SPX was up 2.31 points, or 0.14 percent, to finish at 1,682.50. The Nasdaq Composite Index .IXIC was up 7.41 points, or 0.21 percent, to close at 3,607.49.


Video Credit: Reuters