Stocks moved solidly higher early Monday despite a miss in durable goods orders for May. Durable goods orders fell 1.1% in May vs. an expected 0.4% decline.
The tech-heavy Nasdaq set the pace early, as it sought to extend a winning streak to four sessions. But gains were pared through morning trade with the Nasdaq rising 0.3%. The S&P 500 and Dow Jones industrial average advanced 0.4% each and were just off record highs.
Among the Dow industrials, financial components Goldman Sachs (GS) and American Express (AXP) led the way with rises of 1.3% apiece, while Apple (AAPL) moved up 1.1%. The iPhone maker was attempting to recapture its 50-day line.
Among analyst actions in the stock market today, IBD 50 stocks Regeneron Pharmaceutical (REGN) and Grubhub (GRUB) found themselves downgraded early Monday. The biotech traded around its break-even point after being moved to market perform from outperform at Sanford Bernstein. Shares of the food deliverer fell 5% after Morgan Stanley downgraded the firm to equal weight amid increased competition from UberEats.
Meanwhile, retailers Coach (COH) and Costco (COST) were upgraded. Coach was upgraded to buy from neutral at Buckingham Research, while Costco was moved to outperform from market perform at Raymond James. Shares of Coach rose 1%, while Costco advanced 1% and is trying to end a deep slide.
FANG stocks were in motion early Monday as the rally in technology stocks continued, but gains were significantly pared. Facebook (FB) and Netflix (NFLX) rose 0.3% apiece, while Amazon (AMZN) and Google-parent Alphabet (GOOGL) moved down 0.1% each.
Within the IBD 50, chip stocks Macom Technology Solution (MTSI) and Ichor Holdings (ICHR) jumped 5% and 2.3%, respectively. Macom is extended, and Ichor is rising from a sharp pullback to the 10-week average. China education stock TAL Education (TAL) followed up with a 4.3% rise. It is rising from support again at the 50-day line.