Financials lead today's rally on the back of a selloff in fixed income related to indications the Greek government may give concessions in debt negotiations. European banks led in the financial sector. Managed care stocks are up on improved & rejected ANTM bid for CI and rumored AET bid for HUM. The S&P pushed up through its HOD after the strong existing home sales report, and treasuries sold-off to their LOD. The USD is mixed, and oil traded down helping airlines stocks to rally. The energy sector is up on the rejected $48B ETE bid for WMB. Semiconductor stocks traded down, possibly on a report AAPL will internally develop touch and display driver integration (TDDI) chips going forward.
May existing home sales beat, +5.1% to 5.35m consensus 5.25m. U.S. inventory of unsold homes at 5.1 months supply. U.S. May median existing home price +7.9% year-over-year at $228.7k. The report noted strength from first time home buyers.
Michael Grove, CFA