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Market News Dow hits new highs as aviation stocks jump

Dow hits new highs as aviation stocks jump

The Dow and S&P 500 hit record highs. United Airlines rose more than 8%. The market is waiting for the Federal Reserve's interest rate decision this week.

Eden
2021-03-16
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The Dow Jones Industrial Average closed up 174.82 points, or 0.53%, to 32953.46 points. The Dow hit a record closing high for the fourth consecutive trading day, the longest consecutive rise since December 2017; the U.S. S&P 500 index closed up 25.60 points, or 0.65%, to 3,968.94 points; the Nasdaq Composite Index It closed up 139.84 points, or 1.05%, to 13459.71 points.


According to foreign media reports, US President Biden is planning the first major federal tax hike since 1993, increasing corporate tax from 21% to 28% in order to raise funds for long-term economic development plans. In terms of economic data, the New York Federal Reserve Manufacturing Index rose from 12.10 to 17.40 in March, the highest level since July last year, and recorded a positive value for the ninth consecutive month.


Individual stock news

Lululemon (NASDAQ: LULU): Analysts maintain their "Outperform" rating on the stock and lower their target price to $389, saying that its market value is expected to reach $50 billion. The stock closed up 2.69% to $314.32.


Netflix (NASDAQ:NFLX): Benchmark cut Netflix's target price from US$485 to US$472 and maintains a 'sell'rating. Netflix closed up 0.43% to $520.25.


United Airlines rose more than 8%, and United Airlines (NASDAQ:UAL) closed up 8.26% to $60.94. The company said in a document that if the current growth trend in bookings continues, it expects core cash flow in March to be positive. Due to the increase in bookings, the core cash consumption in the first quarter is also expected to be positive.


In addition, Delta Air Lines (NYSE:DAL) (NYSE:DAL) and Southwest Airlines (NYSE:LUV) also stated that the number of bookings for leisure travel is increasing. This concrete sign indicates that the pandemic has caused the most serious blow to the aviation industry. The moment may have passed.


U.S. Global Jets ETF (NYSE:JETS) (NYSE:JETS) closed up 3.72%. Among other airlines, Delta Air Lines rose 2.33%, American Airlines (NASDAQ:AAL) rose 7.70%, and Southwest Airlines rose 1.75%.


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