Stock Market Update

[BRIEFING.COM] The major averages trade in a relatively tight range just below yesterday's all-time high levels for the S&P 500 (+0.2%) and Nasdaq Composite (+0.2%). 

The health care sector (+0.1%) is benefitting from a relief trade involving several of the sector's worst-performing components as of late.

Centene's (CNC 28.20, +1.44, +5.39%) 2Q25 earnings report underscored the intense pressures facing the health insurance industry as the company fell short of EPS expectations by $0.27 and slashed its FY25 EPS guidance to $1.75 from its prior guidance of $7.25.

Despite the troubling results and outlook, CNC's stock is climbing higher amid a relief rally, as the market had already priced in much of the negative sentiment following the company's July 1 withdrawal of its 2025 guidance. That withdrawal triggered a 40% stock price plunge after Wakely's industry data revealed higher-than-expected morbidity and lower marketplace growth.

Molina Healthcare (MOH 169.41, +11.19, +7.07%) also trades higher after finishing with a loss of 16.8% yesterday. The company also slashed its 2025 EPS forecast on July 9, citing elevated medical costs and unpredictable utilization trends.