Stocks continue to see sector rotation as banks, energy and value plays gained while techs fell. Trading volume was as light as a feather thanks to a 10 am closing bell ahead of the 4th of July. At the close the Dow gained 129.91 points to 21,479.
Factory data in Europe, Asia and the United States is looking good in the latest readings. Eurozone factories have ramped up activity and the IHS Markit Manufacturing PMI rose to 57.4 in June up 0.4 from May’s reading. This is the highest level since April 2011 and signals that growth continues to improve.
Meanwhile over in Asia, the quarterly Bank of Japan Tankan index which measures large business optimism gained 5 points to “plus 17” for manufacturers while the non-manufacturer reading gained 3 points to “plus 23”. Back here at home the factory index rose to 57.8 from 54.9 in May. This is the best reading since August of 2014 and the best part of this is the gauge of new orders which increased from 59.5 to 63.5. All is well on the western front as the employment gauge climbed to the second-highest level since 2011
Shares of Disney were up today as rumors circulate that Verizon is considering a run at buying out the “House of Mouse”. Both Verizon and AT&T have been in a battle to buy internet and entertainment assets in order to build out more robust networks that offer content anywhere and anytime. If this deal happens, which I doubt, will the headlines read….Mickey Mouse goes Mobile?