S&P 500 hits record high as Wall Street wraps up strong first half of 2021

Market Snapshot

The $Dow Jones Industrial Average (.DJI.US)$rose about 210 points, boosted by strong days for Walmart, Boeing, and Goldman Sachs, to 34,502.51.

The $S&P 500 Index (.SPX.US)$nudged up 0.1% to 4,297.50 for its fifth-straight record close.

The $Nasdaq Composite Index (.IXIC.US)$lagged, ticking down roughly 0.2% to 14,503.95.

What drove the market?

Investors have shrugged off high inflation readings

Investors have "a litany of reasons to stay constructive," wrote Tom Lee, managing partner and head of research at Fundstrat Global Advisors, citing economic momentum, strong credit markets and possible fiscal stimulus.

Jeff Kilburg, the chief investment officer at Sanctuary Wealth, told CNBC that he is optimistic about the second half thanks to the Federal Reserve’s continued commitment to the economic recovery.

Which stocks were in focus?

$Virgin Galactic (SPCE.US)$

Shares dropped 2.1% after Bank of America double-downgraded the stockto underperform from buy. The firm said that Virgin Galactic's surging stock price has already priced in much of the eventual gains expected when the company launches space tourism. BofA also noted the space sector continues to carry risk and volatility.

$Advanced Micro Devices (AMD.US)$

The semiconductor company's stock is up 4.9% after Bank of America reiterated its buy rating on it, calling the stock "compelling"and "underappreciated."

$General Mills (GIS.US)$

The food producer saw shares rise 1.5% after it reported quarterly earnings of 91 cents per share, beating analysts' estimates by 6 cents. The company also reported $4.52 billion in revenue, on estimates of $2.02 billion.

By Mia
Source: CNBC, Bloomberg