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Dow Bags Record Close as Boeing Flies in Gains on New Orders

Published 03/29/2021, 03:59 PM
Updated 03/29/2021, 04:10 PM
© Reuters.
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By Yasin Ebrahim

Investing.com – The Dow closed at a record high Monday, shrugging off weakness in energy stocks and bank stocks as Boeing racked up gains following new orders for its much maligned 737 Max jets.

The Dow Jones Industrial Average rose 0.30%, or 98 points to close a record $33,171.77, the S&P 500 was 0.1% lower, and the Nasdaq Composite ended down 0.60%, but had been down more than 1%.

Major Dow component Boeing (NYSE:BA) ended up more than 2% higher, pushing the broader index to close in record territory, after Southwest Airlines (NYSE:LUV) agreed to buy 100 of the aircraft maker’s 737 Max 7 planes. 

But energy and financials stocks kept a lid on the overall climb higher.

Energy fell 1% following wild swings in oil prices amid easing expectations of supply disruptions after the container ship that had blocked traffic at the Suez Canal had been refloated, paving the way for traffic on the key trading route to resume.

APA (NASDAQ:APA), Devon Energy (NYSE:DVN), and Occidental Petroleum (NYSE:OXY) were among the biggest decliners.

Chinese big tech and U.S. media remained under pressure after New York City-based Archegos Capital Management was reportedly forced to sell more than $20 billion worth of shares in margin call on Friday.

Banks tied to the Archegos saga fell, dragging the broader financials into the red, including Goldman Sachs (NYSE:GS), Morgan Stanley (NYSE:MS) and Citigroup (NYSE:C).

Nomura warned of  a “significant” loss of up $2 billion, while Credit Suisse (SIX:CSGN) warned the loss could be "highly significant" on first-quarter results.

Tencent Music Entertainment (NYSE:TME), Baidu (NASDAQ:BIDU), Discovery (NASDAQ:DISCA) and ViacomCBS (NASDAQ:VIAC) were lower.

Tech stocks, meanwhile, cut some losses even as U.S. bond yields ticked higher, with United States 10-Year rate topping 1.7%.

The so-called Fab 5 tech stocks were mostly in the green. Microsoft (NASDAQ:MSFT) was below the flatline, while Google-parent Alphabet (NASDAQ:GOOGL), Apple (NASDAQ:AAPL), Amazon.com (NASDAQ:AMZN), and Facebook (NASDAQ:FB) were higher.

In other news, Tesla (NASDAQ:TSLA) reportedly secured an order for 10 electric semi-trucks and 2 Megachargers, Electrek reported.

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