Financial companies led stocks broadly higher on
The S&P 500 was up 0.9% following a jumpy day of trading. At one point, the index swung between gains and losses of about 1%. The rally strengthened toward the end of the day, placing the market on pace to recoup some losses from a day earlier, when it had its biggest drop in nearly two weeks.
Banks surged after the Fed and four regulatory agencies announced they’re going to change a rule that has limited banks’ ability to make investments in such areas as hedge funds. The rule change could free up billions of dollars in capital in the banking industry.
“It is potentially quite meaningful for the banks,” said
Technology and health care stocks also helped lift the market, outweighing losses in utilities. Bond yields fell, a sign of caution in the market.
The Dow Jones Industrial Average rose 231 points, or 0.9%, to 25,672. The Nasdaq, which hit an all-time high earlier this week, was up 0.8%. The Russell 2000 index of small company stocks was up 1.1%. Despite shedding its gains for June, the S&P 500 still is on pace for its best quarter since the fourth quarter of 1998.
Until this week, markets had been mostly rallying on hopes that
Recent economic data have been positive, helping fuel the cautious optimism. But a rise in new infections is stoking worries that the reopening of businesses may have to be curtailed again, delaying the economy’s recovery.
The
On a more encouraging note, the government said orders to American factories for big-ticket goods rebounded last month from a steep pullback in April and March as the economy began to slowly reopen.
The mixed data come amid growing alarm over a surge in cases of COVID-19. Hospitalizations and caseloads have hit new highs in over a half-dozen
“What we’re seeing is a lot of uncertainty over the significance of the spike in COVID-19 cases,” Roth said. “The market is trying to figure out what the impact this is going to have on consumer activity in coming months, and it’s not clear now because we don’t know how bad this spike is going to get.”
President
Bond yields fell. The yield on the 10-year
In energy trading, benchmark
After broad losses in
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Economics Writer
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