Beaten-down sectors thrive as US stocks end mixed

Beaten-down sectors thrive as US stocks end mixed

NYSE Jun27
Traders work on the floor of the New York Stock Exchange. (AP Photo/Richard Drew)

NEW YORK: Banking shares, media and retailers were among the winners on Monday (Jun 26), while technology shares retreated, a dynamic suggesting investors were reallocating funds near the end of the second quarter.

The gainers included sectors that have been beaten down for much of 2017, but are thought to be well situated if investors rotate to new sectors.

The Dow Jones Industrial Average rose 14.79 points (0.07 per cent) to close at 21,409.55.

The broad-based S&P 500 edged up 0.77 points (0.03 per cent) at 2,439.07, while the tech-rich Nasdaq Composite Index shed 2.73 points (0.04 per cent) to 6,236.69.

Retailers, including companies that sold off after Amazon's deal to acquire Whole Foods Market, had a good day: Wal-Mart Stores gained 0.9 per cent, CVS Health 3.5 per cent and Target 1.4 per cent.

Media shares also prospered, with Disney climbing 1.2 per cent, Twenty-First Century Fox 3.1 per cent and Viacom 2.9 per cent.

But some high-flying technology stocks were pressured, with Amazon, Microsoft and Facebook each shedding 1.0 per cent and Google-parent Alphabet 1.4 per cent.

Aluminium company Arconic slumped 6.0 per cent after it announced it would no longer sell cladding for high-rise buildings following the deadly Grenfell Tower fire in London this month.

Avis Budget surged 14.2 per cent following an announcement that it will provide support and maintenance for Waymo, a subsidiary of Google-parent Alphabet, for the self-driving cars being tested on Arizona roads.

Hertz Global Holdings, another car rental company, jumped 13.6 per cent following reports it is testing self-driving technology under an agreement with Apple.

Source: AFP/de