Dow surges 346 points as trade worries ease
Banyan Hill senior analyst Ian King on the tech sector's impact on the markets.
Stocks rallied Wednesday with the Dow Jones Industrial Average posting a triple-digit gain, boosted by gains in the industrial and financial sectors.
The Dow added 346.41 points, or 1.4%, to 25,146.39. The S&P 500 rose 23.55 points, or 0.86%, to 2,772.35. The Nasdaq Composite climbed to another record high, gaining 51.38 points, or 0.67%, to 7,689.24.
Industrial names were climbing as investors shrugged off mixed reports on trade ahead of the G7 meeting, while financials were boosted by the 10-year Treasury yield approaching a two-week high.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| JPM | JPMORGAN CHASE & CO. | 310.77 | -13.69 | -4.22% |
| CAT | CATERPILLAR INC. | 636.54 | +6.86 | +1.09% |
| BA | THE BOEING CO. | 244.40 | +4.64 | +1.94% |
The yield increased in anticipation that the Federal Reserve will hike rates when it meets next week.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| SP500 | S&P 500 | 6963.74 | -13.53 | -0.19% |
| I:DJI | DOW JONES AVERAGES | 49191.99 | -398.21 | -0.80% |
| I:COMP | NASDAQ COMPOSITE INDEX | 23709.87251 | -24.03 | -0.10% |
On Wednesday, both the Nasdaq and the Russell 2000 touched all-time highs while the Dow climbed back above 25,000. Dow components Microsoft, Visa and Nike touched record highs.
Economic data released Wednesday included the April trade deficit, which fell to a 7-month low as exports set a record. First-quarter productivity was revised to a 0.4% annual pace compared to the 0.7% originally reported.
Oil futures fell 1.2% to $64.73 a barrel, while gold futures were little changed.