A number of stocks jumped in the afternoon session after the latest Consumer Price Index (CPI) report showed inflation holding steady, bolstering investor optimism for a potential interest rate cut by the Federal Reserve. The data, which revealed that inflation remained at 2.7% for the year ending in July, was seen as a positive sign by investors. This stability increases the likelihood that the Federal Reserve might lower interest rates at its upcoming September meeting. Lower interest rates can stimulate the economy by making borrowing cheaper for both consumers and businesses, which often translates into higher consumer spending. This is particularly beneficial for the Consumer Discretionary sector, which includes companies selling non-essential goods and services like apparel, travel, and electronics.
The S&P 500 (^GSPC) is home to the biggest and most well-known companies in the market, making it a go-to index for investors seeking stability.
But not all large-cap stocks are created equal - some are struggling with slowing growth, declining margins, or increased competition.
Shares of cruise company Norwegian Cruise Line (NYSE:NCLH)
jumped 9.4% in the afternoon session after the company reported strong second-quarter results and offered an upbeat profit outlook for the year. The cruise operator's balance of advance ticket sales reached a record high of $4.0 billion, a sign of strong future demand. Norwegian posted record total revenue of $2.5 billion for the quarter, a 6% increase from the previous year. The company also reaffirmed its optimistic full-year 2025 guidance, which projected adjusted earnings of approximately $2.05 per share. Management noted that booking volumes recovered above historical levels, fueled by robust consumer interest.
Stay informed about the performance of the S&P500 index in the middle of the day on Thursday. Uncover the top gainers and losers in today's session for valuable insights.
Norwegian Cruise Line Holdings reported mixed Q2 results, with strong demand driving performance, record revenue, and reaffirmed full-year financial guidance.
Cruise company Norwegian Cruise Line (NYSE:NCLH) fell short of the market’s revenue expectations in Q2 CY2025, but sales rose 6.1% year on year to $2.52 billion. Its non-GAAP profit of $0.51 per share was in line with analysts’ consensus estimates.
Norwegian Cruise Line (NCLH) posted mixed Q2 2025 results, missing revenue estimates but meeting EPS targets. Stock rose 7.7% on strong demand and reaffirmed guidance.
A number of stocks fell in the afternoon session after the latest U.S. consumer confidence report revealed underlying weakness despite a headline increase, raising concerns about future spending. While the Conference Board's headline Consumer Confidence Index rose to 97.2 in July, the details painted a more cautious picture for investors. The Present Situation Index, a measure of consumers' assessment of current business and labor market conditions, actually fell. More telling for the sector, the report showed a decline in buying intentions for major discretionary items such as homes, cars, and most appliances. This combination of factors signals potential weakness in future consumer spending, casting a shadow over companies that rely on non-essential purchases.
Shares of Norwegian Cruise Line are trading lower Tuesday. The stock is down following a mixed earnings report from competitor Royal Caribbean Cruises.
