U.S. stocks closed higher Tuesday, with the Dow Jones Industrial Average jumping more than 100 points, boosted by gains from The Coca-Cola Co. after the beverage giant posted stronger-than-expected financial results. Meanwhile, tech giant Apple Inc. closed at a record market value of more than $700 billion, marking the first time a U.S. company has reached the milestone.
The Dow Jones Industrial Average, which measures the share prices of 30 large industrial companies, climbed 139.55 points, or 0.79 percent, to close at 17,868.76; the Standard & Poor's 500 stock index added 21.85 points, or 1.07 percent, to end at 2,068.59. The Nasdaq Composite gained 61.63 points, or 1.30 percent, to finish at 4,787.64.
Apple Sets Milestone, Closes at Record Market Cap of More Than $700 Billion
Apple Inc. recorded another record milestone Tuesday after the world's most valuable company ended the day with a market capitalization of $710.7 billion, making it the first U.S. company worth $700 billion. The news comes two weeks after the company’s earnings smashed expectations last quarter, with 74.5 million iPhones sold, another record for Apple, and turned in a record-breaking $18 billion profit. Shares of Apple Inc. (NASDAQ:AAPL) rose 1.92 percent Thursday to close at $122.02.
Coca-Cola Boosts Dow After Q4 U.S. Sales Edge Higher
Shares of The Coca-Cola Co. (NYSE:KO) gained more than 2 percent Tuesday to close at $42.40 after the world's largest beverage company posted earnings and revenue above Wall Street forecasts. Coca-Cola reported fiscal fourth-quarter net income fell to $770 million, or 17 cents per share, as revenue fell 2 percent to $10.87 billion, compared with a profit of $1.71 billion, or 38 cents per share, on sales of $11.04 billion a year earlier.
However, Coca-Cola’s earnings topped forecasts as Wall Street had expected the company to post a profit of 42 cents per share on revenue of $10.76 billion, according to analysts polled by Thomson Reuters.
Oil Prices Drop After IEA Glut Fears
Oil prices closed lower Tuesday, snapping a three-day rally, after the International Energy Agency warned that the global oil market “could take years” to rebound. Although there has been a partial rebound in oil prices over the last month following a 60 percent crash in oil prices since June, supplies still remain abundant, the IEA said in its February oil market report. “It will take time for investment cuts to make more than a relatively small dent on production," the IEA said Tuesday. “For today's investment decisions typically take years to translate into physical supply/demand reality,” the IEA added.
Following the report, Brent crude, the benchmark for global oil prices, fell 3 percent Tuesday to $56.47 a barrel for March 15 delivery on the London ICE Futures Exchange. Meanwhile, West Texas Intermediate crude, the benchmark for U.S. oil prices, lost 5 percent Tuesday to $50.20 a barrel for March 15 delivery on the New York Mercantile Exchange.
Greece To Hold Emergency Meeting With EU Finance Ministers
Fears over tensions in Greece faded Tuesday as investors await a possible debt deal when eurozone finance ministers meet in Brussels Wednesday. Global markets declined Monday a day after Greek Prime Minister Alexis Tsipras rejected an extension to the country’s $270 billion bailout program, reigniting concerns of a possible Greek exit from the eurozone.
The new Greek government said last month it would not cooperate with the so-called troika -- the European Commission, European Central Bank and International Monetary Fund -- and will not seek an extension to the bailout program that ends Feb. 28, increasing investors’ concerns about the global economy. EU finance ministers will meet Wednesday to discuss Greece’s financing needs.