The Nasdaq added 0.4%, while the S&P 500 and the Dow Jones industrial average rose 0.4% and 0.6% respectively. Small caps trailed with the S&P 600 up 0.2%.
Volume in the stock market rose on the NYSE but was essentially flat on the Nasdaq.
Tesla gained 7% in fast trade. Shares were halted after founder Elon Musk tweeted that he was “considering taking Tesla private at $420.”
Meanwhile, Zebra gapped up 14% on earnings that topped the consensus estimate by 11%.
Blue chips led the indexes as six of the 30 Dow components rose 1% or more. Caterpillar (CAT) rumbled 2.4% higher; Exxon Mobil (XOM), 1.4%; American Express (AXP), 1.3%; Boeing (BA), 1.4%; 3M (MMM), 1.2%; and Nike (NKE), 1.2%.
Innovator IBD 50 (FFTY), an exchange traded fund that reflects the IBD 50, coasted 0.8% higher. Innovator recently found support at its 200-day line but hasn’t been able to retake the 50-day line.
Breakouts picked up as IBD’s pattern-recognition technology spotted 22 breakouts.
Stocks breaking out that carried reasonably good IBD ratings, though not necessarily top notch, included climate control equipment maker Lennox International (LII); staffing firm Korn Ferry International (KFY); financial research firm FactSet (FDS); Oasis Petroleum (OAS); customer service software provider Five9 (FIVN); biodiesel firm Renewable Energy (REGI); oil refiner PBF Energy (PBF); Burger King operator Carrols Restaurant Group (TAST); handmade goods retailer Etsy (ETSY); and consumer loans provider Santander Consumer USA (SC).
The IBD/TIPP Economic Optimism Index rose to a reading of 58 in August, up from the previous reading of 56.4 in July. This marked the 23rd consecutive month in positive territory.
A reading above 50 signals optimism. A reading below 50 points to pessimism.
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