The Dow and S&P500 booked modest gains to open May, with companies leveraged to the re-opening of the economy trading strongly - Dow gained +238-points or +0.70% to 34,113.23, logging its third highest settlement in history. The broader S&P500 added +0.27% to 4,192.66 and its second highest close ever. Energy (up +2.91%) and Materials (+1.53%) led six of the eleven primary sectors higher. Consumer Discretionary (down -0.66%) was the worst performing primary sector overnight. Baker Hughes Co (up +%) was the leading S&P500 constituent after General Electric Co (down -.70%) disclosed last Friday (30 April) that it sold off more of its holding in the oilfield services company, likely raising ~US$1B. Royal Caribbean Cruises Ltd (up +1.10%) and American Airlines Group (+1.06%) were also notable performers, both rising more than >1% each. Tesla Inc fell -3.46% after a German trade magazine (Automobilwoche) reported that the company’s Gigafactory in Berlin is likely to be delayed by six months. Tesla had hoped to open the facility on 1 July, but permitting issues and plans to also build a battery-cell factory at the site have reportedly contributed to the delay. The massive factory will be Tesla’s fourth worldwide, and first in Europe. Domino’s Pizza Inc (up +2.66%) said in a filing overnight that it has entered into a US$1B accelerated share repurchase agreement with Barclays for ~2M shares. The agreement is expected to be completed by the third quarter of 2021.The technology-centric Nasdaq lost -0.48%. The small capitalisation Russell 2000 rose +0.49%. Berkshire Hathaway Inc’s A shares rose +1.82% after the industrial conglomerate reported a surge in first quarter earnings over the weekend and after Warren Buffet reportedly effectively confirmed vice-chair Greg Abel as his heir apparent.
