The S&P 500 rose to a record high on Tuesday — ahead of a key Federal Reserve decision — as strong corporate earnings gave investors confidence in a year-end rally.
The Dow Jones Industrials gained 138.79 points to 36,052.63,
The S&P 500 advanced 16.98 points to 4,630.65, also attaining at an all-time high.
The NASDAQ Composite gained 53.69 points to 15.649.60, adding to Monday’s record.
This is the third session in a row that all three major averages closed at a record.
Pfizer shares rose 4.2% after the drug maker’s third-quarter profit topped expectations. It also raised its 2021 revenue and EPS outlook.
Under Armour shares soared 16.3% after the athletic retailer hiked its annual outlook, revealing the company is seeing progress in improving its brand image under CEO Patrik Frisk.
DuPont de Nemours rallied 8.8% after beating on the top and bottom lines of its quarterly results and Estee Lauder popped 4.1% on better-than-expected earnings and revenue.
Better-than-expected corporate earnings results boosted the U.S. stock averages to finish October at record highs, with the S&P 500 and Nasdaq posting their best months since November 2020.
As of Tuesday at the close, according to FactSet, 83% of S&P 500 companies that have reported earnings have topped analysts’ earnings expectations.
Meanwhile, Tesla shares cooled off Tuesday after popping during the end of October. Shares of the electric automaker dipped 3%, though they are up more than 50% over just the past month. The drop follows a report that the carmaker is recalling 11,700 of its vehicles due to a communications error, and a tweet from company founder Elon Musk that Tesla has yet to sign a contract with rental giant Hertz.
The Fed, at the conclusion of its two-day meeting on Wednesday, is expected to announce it will begin unwinding its $120 billion in monthly bond purchases implemented during the pandemic.
The October jobs report is set for Friday.
Prices for 10-year Treasurys were higher, lowering yields to 1.55% from Monday’s 1.56%. Treasury prices and yields move in opposite directions.
Oil prices dumped 52 cents to $83.53 U.S. a barrel.
Gold prices faded $6.80 to $1,789 U.S. an ounce.