Diamonds and Dogs
Boring is beautiful. Tobacco maker, Reynolds American (RAI) jumped 3% to a 52 week high after British American Tobacco (BTI) agreed to buy the rest of Reynolds American they didn't own for $49.4 billion, creating the world's biggest publicly traded tobacco maker. The deal helped lift the Consumer Staple sector by 1.4%.
The banks finally have a down day. Morgan Stanley (MS) dropped 4% after easily beating earnings estimates as revenue rose 16% year over year. JP Morgan dropped 3% on a downgrade while Goldman Sachs dropped over 3%, its worst down day since the election. We'll see if Goldman can reverse things for the banks tomorrow following their earnings report.