Dow Surges Over 700 Points to Reach Record High; S&P 500 Achieves New Milestone

The S&P 500 saw some significant movers on Tuesday, with health insurance firms and companies in the housing industry leading the way.

UnitedHealth Group (UNH) reported better-than-expected second-quarter profits, driving its shares up by 6.5%. This positive performance also lifted shares of Molina Healthcare (MOH) by 8.2%, making it the top performer in the S&P 500 for the day.

In the housing industry, the promise of lower interest rates boosted shares of Builders FirstSource (BLDR) by 8.0%, while home builders like Pultegroup (PHM), D.R. Horton (DHI), and Lennar (LEN) all saw gains of more than 6.5%.

On the flip side, Match Group (MTCH) surged 7.5% after activist hedge fund Starboard Value acquired a stake in the company. However, Charles Schwab (SCHW) saw its shares plummet by 10.2% after announcing plans to downsize its bank to maintain profitability.

Overall, the market is showing optimism as traders are now pricing in a 100% chance of a Fed rate cut in September, with gold prices hitting a record high as investors anticipate lower interest rates. Bank of America (BAC) also saw its shares jump more than 5% after beating second-quarter revenue and profit estimates.

With the Dow Jones Industrial Average hitting record highs and stock futures pointing to a higher open, it seems like the market is gearing up for more positive movements in the days to come.