Tech and weed soar as retail swoons…
On Tuesday, tech was the winner and retail the loser in American markets. Facebook (up 0.97%), Broadcom (2.13%) and Tesla (2.72%) helped push the Nasdaq to a new record of 8,570. Broadcom itself hit a record high after Stanley Morgan upgraded the chipmaker to not only a buy, but also a “top pick.”
On Monday, Home Depot reached new highs, but plunged 5.44% Tuesday after an earnings miss and a downbeat outlook for 2019. But their woes were nothing compared to Kohl’s which was decimated by 19.49% after releasing weaker-than-expected earnings and cutting guidance. These retailers helped push the Dow down 0.36% from yesterday’s record, but also infected other major American retailers which report later this week. Macy’s dropped 10.9% and Nordstrom fell 6.26%.
The TSX closed a hair lower in a flat market. Perhaps Canadian cannabis stocks have hit a bottom. Hexo (up 16.11%), Aphria (12.92%) and Green Organic Dutchman (12.31%) shot up on Tuesday. They were closely followed by Canopy and Cronos.