Consumer Cos Tick Up on Housing, Services-Spending Optimism — Consumer Roundup

Consumer companies ticked up amid optimism about housing and services spending in the U.S. and China.

The average 30-year mortgage rate hit a two-year low, as the Federal Reserve's pivot on interest rates continues to ripple through credit markets.

Shares of discount airline pioneer Southwest took flight after it unveiled a reinvention of its flying culture, and vowed to buy back shares in an effort to fend off pressure from activist investment firm Elliott Management. Southwest Airlines is doing away with some hallmarks of the no-frills model that made it an industry icon. Beginning next year, Southwest will begin selling tickets that include assigned seats and variable leg room, trends in the broader industry it has long resisted in favor of an egalitarian approach.

Shares of Las Vegas Sands and Wynn Resorts rallied after analysts at brokerage Citi said the casino chains were luring more "whales" -- high-rolling gamblers in China who are spending millions of dollars during each visit, according to a report released earlier this week. Meanwhile, Las Vegas Sands is planning a new luxury hotel in Macau in partnership with Marriott International.

Costco Wholesale barreled through earnings estimates, but the stock dipped in after-hour trading as sales fell short of expectations.

Write to Rob Curran at rob.curran@dowjones.com

(END) Dow Jones Newswires

September 26, 2024 17:52 ET (21:52 GMT)

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