Stocks rise on Wall Street, but tech decline tempers gains
Stocks edged up in morning Wall Street trading on Tuesday as traders brace for economic reports and corporate earnings to pick up after the year-end recess.
The S&P 500 was up 0.3% at 10:20 a.m. Eastern time. The Dow Jones Industrial Average rose 299 points, or 0.8%, to 36,883 and the tech-rich Nasdaq fell 0.7%.
Banks were among the biggest winners as bond yields rose again. Higher bond yields allow banks to charge more lucrative interest on loans.
The 10-year Treasury yield rose to 1.67% from 1.63% on Monday night. JPMorgan Chase rose 3.5%.
US crude oil prices rose 1.6% and helped boost energy stocks. Exxon Mobil rose 3%.
A wide range of industrial and communications stocks have also gained ground.
Healthcare and tech stocks fell and tempered broad market gains.
Investors have a mix of business and business news to focus on in the first week of the New Year as they attempt to assess economic growth with the virus pandemic and the continued rise in the economy. inflation.
OPEC and allied oil-producing countries plan to stick to their roadmap to slowly restore production cuts made at the height of the pandemic, including adding 400,000 barrels a day in February.
Wall Street is also watching for updates this week on the manufacturing and service sectors. The Labor Ministry’s closely watched employment report for December will be released on Friday.
Walgreens, Constellation Brands and Conagra released their latest quarterly results on Thursday.
Investors are also awaiting the minutes of the Federal Reserve’s last policy meeting in December, due for release on Wednesday. The central bank plans to accelerate the withdrawal of its support to the markets and the economy in the face of rising inflation. It will speed up its withdrawal from bond purchases that have helped keep interest rates low and investors are watching the Fed closely for any signals of a possible increase in benchmark interest rates.