BANKS, ENERGY LEAD GAINERS IN WALL STREET
Wall Street extended its recent run of gains Tuesday, despite a late stumble that nearly wiped out the stock market's gains for the day, the Associated Press (AP) reported on Tuesday night (Wednesday, July 22, 2020 in Manila.)
The S&P 500 rose 0.2% after having been up 0.8% in the early going. Banks and energy companies led the gains, outweighing losses in technology stocks, which pulled the Nasdaq composite lower. Small company stocks did better than the broader market.
The latest gains followed strength in markets overseas as investors welcomed news that European leaders have agreed on a budget and coronavirus relief fund worth more than $2 trillion. The agreement comes as pressure intensifies on Congress and the White House to reach a deal on another economic aid package before a temporary boost in aid for unemployed Americans expires at the end of the month, Mainichi Shimbun also reported.
Hope for more economic aid from the government, following Europe's example, helped put investors in a buying mood Tuesday, said Kristina Hooper, chief global market strategist for Invesco. "The U.S. does not have the safety net that Europe has," she said. "This is an environment in which there is going to be a need for more fiscal stimulus or you could see a real hit to consumers." The S&P 500 gained 5.46 points to 3,257.30. It was the index's third-straight gain. The Dow Jones Industrial Average rose 159.53 points, or 0.6%, to 26,840.40. The Nasdaq dropped 86.73 points, or 0.8%, to 10,680.36, a day after notching its best day since the end of April and its latest all-time high.