The stock market got off to a good start to the second half of the year on Monday, as investors were pleased to see some positive news come out of the weekend's G-20 meeting in Japan. In particular, prospects for continued trade negotiations between the U.S. and China once again raised hopes that the two nations would be able to put their disputes behind them and move forward in a more economically productive way. Skepticism later in the session watered down some of Wall Street's early gains, but several stocks still had impressive share-price boosts. Wynn Resorts (WYNN 1.18%), Rite Aid (RAD 60.00%), and Acacia Communications (ACIA) were among the top performers. Here's why they did so well.
Wynn gets a win
Shares of Wynn Resorts gained 6% after the casino resort giant got good news from the Asian market. The latest monthly numbers from the Gaming Inspection and Coordination Bureau in Macao came out, and they showed an unexpectedly strong rise of 5.9% in gambling revenue within the Chinese administrative territory. Macao has become a crucial part of the casino industry worldwide, and Wynn in particular has invested heavily there, with multiple properties. Even though the recent opening of the company's Boston-area property is getting a lot of attention right now, Wynn will keep relying on strength in Macao to drive overall growth.
Image source: Wynn Resorts.
Rite Aid shareholders hope for Amazon salvation
Rite Aid's stock continued to gain ground Monday, picking up another 7% after a huge boost last week. The drugstore chain saw disappointing results in its fiscal first-quarter financial report, but Rite Aid announced that it would work with Amazon.com to provide pickup facilities in more than 1,500 of its stores by the end of the year. Some think the move could be a precursor to Amazon making a full acquisition bid for Rite Aid, but given that the e-commerce giant has made similar distribution deals with other retailers, that's likely just wishful thinking on the part of Rite Aid shareholders.
Acacia regains lost ground
Finally, shares of Acacia Communications rose 7%. The optical connectivity products specialist had found itself in the spotlight when China's Huawei came under fire in the trade disputes between the U.S. and China, and some feared that Acacia would suffer from no longer being able to sell its components to the blacklisted company. Acacia itself had said it expected little impact from the move, but that didn't stop shareholders from reacting negatively. Conversely, now that trade relations between the U.S. and China look a little better, investors seem to be pushing Acacia stock higher. Even with the day's gains, though, Acacia shares are still well below where they started the year.
