U.S. stocks rose Wednesday, extending the previous session’s rebound, as several strong earnings figures help buoy sentiment after Monday’s steep selloff sparked by concerns over increasing coronavirus cases.
At the finishing bell, on the New York Stock Exchange (NYSE), the blue-chip Dow Jones Industrial rose +286.01 points, or +0.83%, to 34,798.00, and is sitting just a stone’s throw away from its record high.
The broad-based Standard & Poor’s 500 Index finished the session +35.63 points higher, or +0.82%, to end at 4,358.69, a day after the broad market gauge posted its biggest one-day gain since late March.
The technology-focused Nasdaq Composite Index gained +133.01 points, or +0.92%, to 14,632.00.
The yield on 10-year Treasury notes rose to 1.279% from 1.208% Tuesday, its largest one-day jump since June 16. Yields move in the opposite direction to bond prices.
Wednesday’s gains built on Tuesday’s strong session as all three major indexes have now erased the losses from Monday’s sell-off.
Several strong earnings results helped lift investor sentiment on Wednesday, with better-than-expected earnings reports from Dow members Coca-Cola and Johnson & Johnson added to the bullish sentiment.
Meanwhile, Moderna joined the S&P 500, giving the stock a +30% boost from a week ago. Its shares gained nearly +4.5%.
A busy week of U.S. earnings will continue on Thursday, with AT&T, D.R. Horton, Southwest Air, American Airlines, Abbott Labs, and Union Pacific are among the names on deck before the opening bell. Intel, Twitter, Snap and Capital One will post quarterly updates after the U.S. market closes.
Meanwhile, in cryptocurrency, Bitcoin rebounded in front of the key support level at $US28,500.00 and climbed over +6% to $US32,125.00 (as of writing) after Elon Musk’s comments that Tesla could soon begin accepting Bitcoin.
Investors will also be watching the weekly U.S. jobless claims number from the Department of Labor on Thursday, with the forecast expecting the number of first-time filings to be 350,000, down from the prior reading of 360,000.