Dow Surges Higher Despite Recession News
The Nasdaq hit another record high
The National Bureau of Economic Research (NBER) officially announced the U.S. entered a recession in February, resulting in the worst downturn since the Great Depression. The downturn ended a 128-month expansion, the longest in post-World War II history. Despite this grim news, stocks continued higher, as optimism over the reopening economy, particularly airline and retail stocks, led the Dow to finish up just over 450 points. Meanwhile, the S&P 500 and Nasdaq both climbed as well, with the latter experiencing yet another record intraday high.
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Virgin Galactic is seeing a surge in calls.A rare upgrade sent MIK soaring on the NYSE.Plus, Apple tumbled from record territory; Thor lit up the charts; and Facebook responded to backlash.The Dow Jones Industrial Average (DJI - 27,572.44) added 461.5 points, or 1.7% for the day. Boeing (BA) continued its winning streak, gaining 12.2% for the day. Meanwhile, Intel (INTC) paced the losers, dropping 1%.
The S&P 500 Index (SPX - 3,232.39) added 38.5 points, or 1.2%, and the Nasdaq Composite (IXIC - 9,924.75) tacked on 110.2 points, or 1.1%.
Meanwhile, the Cboe Volatility Index (VIX - 25.81) rose 1.3 points, or 5.3% higher for the day.
5 Items on Our Radar Today
Officially in its first phase of reopening, New York City, the backbone of America's economy and former epicenter of its coronavirus cases, is opening retail shops, though only curbside pickup will be available, leading to doubts about how many customers will actually show. (Bloomberg)According to the World Health Organization (WHO), patients with COVID-19 who are asymptomatic aren't driving the spread of the virus. This revelation is casting doubts on earlier evidence suggesting the virus could be spread via person-to-person contact , even if the the carrier showed no symptoms. (CNBC)Apple stock ebbed on the heels of Friday's record highs.Thor stock thundered up the charts after a blowout earnings beat.Content policies are being reviewed by this social media giant.
Data courtesy of Trade-Alert
Gold Moves Higher on Fed Hopes
Oil prices slid to begin the week, after Saudi Arabia announced that the production cuts proposed by The Organization of the Petroleum Exporting Countries and others (OPEC+) would exclude a trio of Gulf producers' voluntary reductions. As a result, July-dated oil fell $1.36, or 3.1%, to settle at $38.19 per barrel for the day.
One silver lining comes as gold rose, boosted by hopes of the Federal Reserve's dovish monetary policy, the update due out Wednesday. Gold for August delivery tacked on $22.10 or 1.3%, to settle at $1,705.10 per ounce for the day.