What a day, what a day! The major equity markets are continuing to rebound during today’s session. The Dow Jones Industrial Average has gained over 300 points during today’s session and approaching the 16,600 level. The next resistance level is an additional 400 points away right below the 17,000 level. The NASDAQ is up over 100 points or 2.30+% and the S&P 500 is up over 42 points or 2.20+%. The markets were positively influenced by a few of the economic releases from this morning, especially the gross domestic product (GDP) report.

The Bureau of Economic Analysis (BEA) released its revised GDP report this morning for Q2-2015. After reviewing additional data that was not available at the time the advance GDP report was released last month, the BEA found that GDP rose at an annual rate of 3.7% compared to an advance estimate of 2.3%. It turns out that nonresidential fixed investment and private inventory investment were stronger than originally reported. Real gross domestic income (GDI) rose by 0.6% during Q2-2015 after rising by 0.4% in the Q1-2015. GDI is the “value of the costs incurred and the incomes earned in the production of goods and services in the nation’s economy,” (BEA).

Corporate profits rose at a slower pace than initially thought. In the advance report, corporate profits came in at +9.0%, however the revised estimate was +7.3%. Corporations have been experiencing great quarter-over-quarter growth in profits as demonstrated in the chart below. Domestic financial corporations saw profits increase by $33.9 billion while domestic nonfinancial corporations saw profits increase by $16.5 billion. Taxes and dividend payments are also on the rise.

The National Association of Realtors released its July pending homes sales report. During the month, the pending home sales index rose by 0.5% to 110.9 from 110.4 in June. The index is approximately 7.4% higher than the July 2014 reading of 103.3. The West demonstrated weakness with pending home sales declining 1.4%. The Northeast, saw the largest gain, with the index rising 4.0% to 98.8 during the month.