Wall Street closes higher: S&P 500 up 0.60% to 7722.65, Nasdaq 100 up 1.29%

The S&P 500 closed at 7722.65 on Tuesday, up 45.88 points or 0.60% from 7676.77. The Nasdaq 100 ended at 29651.44, a gain of 378.04 points or 1.29%.

What happened

US equities finished the New York session with gains in both main benchmarks. The S&P 500 stood at 7722.65 at 15:59 New York time, against a previous close of 7676.77. The Nasdaq 100 stood at 29651.44 at 16:00, compared with 29273.4 at the previous close.

The Nasdaq 100 advanced more than twice as much as the S&P 500 in percentage terms. The gap was 1.29% against 0.60%. In points, the Nasdaq 100 added 378.04 and the S&P 500 added 45.88.

The session also carried a full slate of corporate results and a housing release. Several large companies reported before the open, and one more reported after the close. The details are below.

Rates, dollar and gold

The 10-year Treasury yield was little changed at 4.994%, against a previous close of 4.987%. The move was +0.7 basis points, a change of less than one basis point. A basis point is one hundredth of a percentage point.

The US Dollar Index stood at 102.2070, higher by 0.3970 or 0.39% from 101.8100. Gold futures traded at 4072.7, higher by 34.3 or 0.85% from 4038.4. The dollar and gold therefore both stood above their previous levels.

A stronger dollar and higher gold appeared together in this session. Each is reported here as a separate reading, with its own change from the previous close.

Housing data

New home sales for September came in at 0.68 million, against an estimate of 0.65 million. The previous reading was also 0.68 million, so the level was unchanged from the month before.

The previous month showed an increase of 5.1%. The September figure therefore marks a small fall after a strong rise in the prior period.

Earnings reported on the day

Boeing posted a loss per share of 0.34 USD, against an estimate of a 0.25 USD loss. Its revenue was 24.19 billion USD, against an estimate of 23.95 billion USD. The company reported before the open.

Centene reported earnings per share of 0.58 USD, against an estimate of 0.1 USD. Its revenue was 50.65 billion USD, against an estimate of 47.12 billion USD. This report also came before the open.

American Tower reported earnings per share of 1.64 USD, equal to the 1.64 USD estimate. Revenue was 2.79 billion USD, against an estimate of 2.76 billion USD. CenterPoint Energy reported earnings per share of 0.53 USD, against an estimate of 0.5 USD. Its revenue was 2.19 billion USD, against an estimate of 2.12 billion USD.

Arch Capital Group reported after the close. Earnings per share were 2.67 USD, against an estimate of 2.31 USD. Revenue was 4.66 billion USD, against an estimate of 4.06 billion USD.

Why it matters

The S&P 500 and the Nasdaq 100 are widely followed gauges of large US companies. Moves in both show how the broad market ended the session. On this day both finished higher, with the technology-heavy Nasdaq 100 posting the larger percentage gain.

The 10-year Treasury yield is a reference for borrowing costs across the US economy. It stood at 4.994%, close to 5%, and barely moved on the day. A stable yield means the rate backdrop for companies and households changed little during the session.

Housing data matter because new home sales reflect demand in a rate-sensitive part of the economy. The September level of 0.68 million was unchanged from the previous reading.

The dollar matters for multinational companies and for the pricing of many commodities, so its direction is followed alongside equities. Gold is a widely tracked reference for investors who follow currency and rate moves.

Earnings add company-level detail to the index moves. Reports from companies across aerospace, healthcare, telecommunications infrastructure, utilities and insurance gave a wide cross-section of results in a single day.

What to watch next

Arch Capital Group reported after the close, so the first trading reaction to that report will come in the next session. Other companies on the earnings calendar will continue to report, and their figures will add to the picture of corporate results.

Market participants will also follow the 10-year yield, which stood near 4.994% after a move of +0.7 basis points. Further US economic releases will update the view of housing and the wider economy after the September new home sales data.

The dollar index at 102.2070 and gold futures at 4072.7 will also be tracked in the next session, together with the two equity benchmarks that closed at 7722.65 and 29651.44.