The Nasdaq and the S&P 500 kicked off the second quarter on a positive note, while the Dow Jones Industrial Average lost ground as investors weighed the nation's reopening from coronavirus lockdowns against fresh employment data, more cautious comments from the Federal Reserve and another round of stimulus.
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|I:COMP||NASDAQ COMPOSITE INDEX||10913.561787||+241.30||+2.26%|
The Nasdaq notched its 22nd record close of the year, rising 0.95 percent, while the S&P gained 0.50 percent and the Dow slipped 77 points or 0.30 percent. The major averages on Tuesday closed out their strongest quarter in more than 20 years.
President Trump, in an exclusive interview with FOX Business, said he wants Americans to not only get another round of stimulus but perhaps a bigger payment.
“I want the money getting to people to be larger so they can spend it," he told Blake Burman. "I want the money to get there quickly and in a noncomplicated fashion."
Trump's comments came alongside the latest Fed minutes, which reiterated that policymakers will remain diligent in supporting the economy during its fragile recovery from the COVID-19 pandemic.
On the data front, the ADP employment report showed the private sector added 2.37 million jobs in June, less than the 3 million jobs that were expected. The May report, however, was revised upward from a loss of 2.76 million jobs to an addition of 3 million jobs.
Monthly government payroll data will be released on Thursday, as U.S. markets are closed Friday in observance of Independence Day.
Pfizer and BioNTech announced positive data from a Phase 1/2 study of their experimental COVID-19 vaccine. The results showed subjects who received the drug had elevated levels of antibodies.
Boeing was under pressure after a report that it failed to inform the Federal Aviation Administration of alterations to its MCAS flight control system on the widely-sold 737 Max, which has been faulted in two fatal crashes, according to Reuters.
United Airlines announced plans to triple the number of flights to nearly 25,000 in August, bringing capacity up to roughly 40 percent of what it was a year ago. Elsewhere in the industry, American Airlines has begun allowing full flights.
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Facebook CEO Mark Zuckerberg has agreed to meet with the organizers of an ad boycott over hate speech on the social-media platform. More than 400 brands, including Coca-Cola and Starbucks, have joined the cause.
Beyond Meat, in a partnership with Alibaba’s grocery stores, will begin selling its plant-based burgers in 50 Shanghai locations starting Saturday.
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On the earnings front, FedEx beat on both the top and bottom lines as the COVID-19 pandemic caused a surge in deliveries.
Macy’s booked a $3.2 billion writedown due to COVID-19 and said sales in May and June were ahead of expectations.
General Mills reported its fourth-quarter profit jumped 10 percent from a year ago as consumers stocked up amid COVID-19 lockdowns. The consumer-foods maker expects a material drop in fourth-quarter sales for 2021.
Commodities were mixed, with oil up 55 cents at $39.82 a barrel and gold down $19.80 to $1,773.20 an ounce.
U.S. Treasurys were lower, causing the yield on the 10-year note to rise by 3.3 basis points to 0.686 percent.
European markets were mixed, with Germany’s DAX down 0.41 percent, while France's CAC 40 and Britain’s FTSE slipped 0.18 percent and 0.19 percent, respectively.
In Asia, markets finished mixed, with China’s Shanghai Composite and Hong Kong’s Hang Seng adding 1.39 percent and 0.52 percent, respectively, while Japan’s Nikkei slid 0.75 percent.