U.S. stock markets are setting new record highs in the early session.
The S&P 500 is higher by 6 points to 2,190, the Dow Jones Industrial Average is gaining 68 points to trade at 18,644 and the Nasdaq is rising by 18 points to trade at 5,251. The S&P Retail ETF is adding another 27 cents to sell at $45.78.
Positive moves in global markets helped grease the way higher for domestic stocks. China’s Shanghai Composite popped 2.4 percent on word that the Shenzhen-Hong Kong Stock Connect was imminent. The Shenzhen is called the Nasdaq of China. This would allow foreign investors to buy and sell Chinese stocks. This big move also helped propel the European markets higher as automakers were the big leaders.
Another reason stocks are rising is the move higher in oil prices. There is some word that Russia is working with Saudi Arabia in order to stabilize oil prices. Oil is now $45 a barrel.
Deckers Outdoors Corp., the home of Uggs, got an upgrade to outperform from market perform by Telsey Advisory Group. The Telsey Group believes the weather favors Uggs shoppers more so than in the last year. Deckers’ stock is up by more than 4 percent to $69.90. The price target was raised from $68 to $78. This comes on the heels of Brean Capital restating their “buy” rating on Deckers and confirming its $72 price target. Not nearly convinced of Deckers comeback, Susquehanna researchers initiated coverage on Deckers last Friday with a neutral ratings and a $59 price target.
Hennes & Mauritz or H&M as it is known reported that its July sales were up 10 percent year-over-year in local currencies. The total number of stores increased to 4,105 from 3,649. The stock is moving higher by more than 2 percent to 277.6 Swedish Krona or $32.75.
Looking ahead, there are several retailers on deck to report earnings this week. Tuesday brings The TJX Cos., Urban Outfitters Inc. and Coty Inc. Wednesday will see L Brands Inc. and Target Corp., while Thursday will get Wal-Mart Stores Inc., The Gap Inc. and Ross Stores Inc.