Investor optimism over a potential treatment for coronavirus sent N.A. stocks climbing on Monday. The S&P 500 and Nasdaq both hit new closing highs, while the TSX added more than 100 points, as the energy sector rallied more than 4%.
It was another record close Tuesday for the S&P and Nasdaq, as U.S. and Chinese officials affirmed their commitment to the phase-one trade accords signed in January. The Dow, however, ended the session lower, while the TSX was fairly flat, despite spiking oil prices in light of hurricanes barreling down on the U.S. Gulf Coast. In U.S. economic data, the Conference Board’s Consumer Confidence index hit a six-year low this month, while new home sales surged to a 13-year high in July.
U.S. stocks set records again Wednesday, buoyed by a rally in mega-cap tech shares and data showing that orders for durable goods in the U.S. surged 11% in July. By Wednesday’s close, the Nasdaq was up nearly 200 points, while the TSX added 172, thanks in large part to the tech and financials sectors.
However, U.S. stocks wavered Thursday after Fed Chair Jerome Powell said the central bank would abandon its policy of pre-emptively raising rates to head off inflation. The takeaway for many is that it may be quite a while before the Fed even considers raising interest rates. The news sent 10-year Treasury yields up to 0.736%, extending this week’s selloff in U.S. government bonds. By Thursday’s close the Dow and S&P finished in positive territory, while the Nasdaq and TSX were slightly down.
Finally, the number of Americans applying for jobless benefits fell a bit last week to 1 million, however, the number of unemployed remains historically high.
source https://richarddri.ca/sp-500-nasdaq-keep-climbing-fed-revamps-inflation-policy/
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