Wall Street opens slightly higher after Donald Trump's coronavirus relief orders

Marco Green
August 12, 2020

What are major indexes doing? The Dow Jones Industrial Average was up 326.68 points, or 1.18%, at 28,118.12.

The Nasdaq Composite gained 22.74 points, or 0.21 percent, to 11,033.73 at the opening bell.

In early afternoon trading, the S&P 500 hit a session high of 3,381.01, putting it just 0.15% shy of its 3,386.15 record closing high and 0.37% from its 3,393.52 all-time intraday peak, both registered on Feb 19.

Advancing issues outnumbered decliners by a 2.19-to-1 ratio on the NYSE and by a 1.45-to-1 ratio on the Nasdaq.

The benchmark index was about half a percent below its peak hit on February 19, when investors started dumping shares in anticipation of what proved to be the biggest slump in the US economy since the Great Depression.

US stocks retreated from near record highs after Senate Majority Leader Mitch McConnell, a Republican, said there had been no talks between the White House and House Democrats after they stalled last week.

USA stocks opened slightly higher on Monday as investors looked to executive orders from President Donald Trump over the weekend to support the economy until more concrete stimulus could be passed.

Value stocks outperformed tech-focused growth stocks on Tuesday, reflecting market's confidence in improving economic outlook.

MSCI's benchmark for global equity markets rose 0% to 564.09, off less than 3% from its record, while Europe's broad FTSEurofirst 300 index closed up 1.64% at 1,436.83. Economists surveyed by MarketWatch had expected a 0.4% rise in the index. The core PPI (excluding volatile food and energy items) rose 0.3% in July compared to 0.1% in the previous month. Shares of the electric-car maker were up 229 percent this year through Tuesday. (TSLA) were up more than 6% in premarket trade after its board approved a five-for-one split of the company's stock.

Meanwhile, Moderna Inc. agreed to a deal worth up to $1.5 billion to supply the US government with at least 100 million doses of its experimental COVID-19 vaccine, which began a Phase 3 study late last month.

Hotels, cruise operators and airlines were among the big gainers.

How are other markets trading?

Dow up 1.18%, S&P up 0.46%, Nasdaq down 0.14%.

The dollar index got a late bid and ended higher for a fourth straight session.

U.S. Treasurys slid, causing the yield on the 10-year note to climb by 1.8 basis points to 0.676%. Bond prices move inversely to yields.

The December gold contract was down US$77.10 at US$1,962.60 an ounce and the September copper contract was up less than a penny at US$2.86 a pound. Crude-oil prices climbed, with USA benchmark futures (CL) advancing 1.6%. The dollar index rose 0.037%, and the Japanese yen weakened 0.51% versus the greenback at 106.50 per dollar.

Other reports by Click Lancashire

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