Stocks experienced notable fluctuations with the S&P 500 and Dow Industrials both reaching peak records. Memory and data storage stocks led the charge, with significant gains reported for major players in the sector. SanDisk saw a remarkable surge of 27% on Tuesday, achieving a new milestone, while Western Digital climbed approximately 17%, also hitting a record high. Micron and Seagate followed suit, rising 10% and 14%, respectively. Prominent financial expert Jim Cramer attributed these substantial increases to a shortage of machines needed for memory chip production, in addition to heightened panic buying amidst a short squeeze.
As investors gear up for the coming day’s trading session, CNBC’s “Worldwide Exchange” with Frank Holland will begin its live coverage at 5 a.m. ET, focusing on the anticipated premarket movement following these trends.
On the macroeconomic front, the December ADP jobs report is scheduled for release at 8:15 a.m., with “Squawk Box” hosts Becky Quick, Andrew Ross Sorkin, and Joe Kernen prepared to analyze the data and its implications for the market. Economists surveyed by Dow Jones project an increase of about 48,000 jobs.
In early earnings updates, grocery chain Albertsons has risen 1.85% over the past three months. Despite this uptick, shares have plummeted 26% from their April high. Meanwhile, Cal-Maine Foods, a significant egg producer, has experienced a drop of around 15% in the same timeframe and is currently 37% off its peak seen in July.
Attention will also shift to the Goldman Sachs energy, cleantech, and utilities conference, where CNBC’s Brian Sullivan will cover the event. Energy Secretary Chris Wright is slated to speak, amid geopolitical tensions following the U.S. arrest of Venezuelan President Nicolás Maduro. Following this incident, both West Texas Intermediate and Brent crude prices have dipped by about 0.5%. Chevron’s stock has managed a modest recovery, gaining 0.4%, although it remains 7% below its March high. ExxonMobil, conversely, has seen a decline of 1.3% over two days, now down 4% from its early January peak, while SLB registered an 8.5% increase but remains 3.4% below its January high.
In real estate news, CNBC’s Diana Olick will provide the latest insights on weekly mortgage applications at 7 a.m. Major homebuilders, including Hovnanian, Toll Brothers, D.R. Horton, Lennar, PulteGroup, and Taylor Morrison, have all posted gains year-to-date, though most are seeing their stock values fall significantly from highs achieved in September. Notably, Toll Brothers is down only 9% from its peak, while shares of Pulte, Taylor Morrison, D.R. Horton, Lennar, and Hovnanian are down 15%, 18.5%, 22%, 26%, and 38%, respectively.
