All major indexes rose for a second-straight day
Stocks rose for a second-straight day, with the Dow finishing over 500 points higher, thanks in no small part to a record surge in retail sales. According to reports, the U.S. government reported a 17.7% rise in retail sales for the month of May, which also pushed the S&P 500 and Nasdaq Composite higher to close the day out. Additionally, hopes of more stimulus, coupled with a new potential coronavirus treatment, lent to the sentiment surrounding the market. Lastly, according to Bloomberg News, the Trump administration is drafting up an infrastructure proposal to the tune of $1 trillion, which will set aside a majority of the money for traditional infrastructure projects with some funds being allocated to 5G wireless infrastructure and rural broadband projects.
The Dow Jones Industrial Average (DJI - 26.289.98) tacked on 526.8 points, or 2% for the day. There were no Dow stocks that reported losses today, and Caterpillar (CAT) lead the charge, rising 5.3%.
Meanwhile, the S&P 500 Index (SPX -3,124.7) rose 58.2 points, or 1.9%, and the Nasdaq Composite (IXIC - 9,895.87) added 169.8 points, or 1.8%.
Meanwhile, the Cboe Volatility Index (VIX - 33.67) lost 0.7 points, or 2.1%, for the day.
5 Items on Our Radar Today
- Federal Reserve Chairman Jerome Powell testified before the Senate today, remaining cautious about the economy's recovery as he said the level of output and employment fell short of levels before the coronavirus pandemic. (MarketWatch)
- Record-low interest rates and soaring demand for extra space signaled an improved outlook among U.S. homebuilders, solidified by a gauge of builder sentiment which rose to 58 in June. (Bloomberg)
- Chesapeake Energy stock plummeted on rumors of bankruptcy.
- Apple stock rose despite open investigations from EU antitrust regulators.
- Tanger Factory Outlets announced 72% of its occupied stores were open.
Data courtesy of Trade-Alert
IEA Increases 2020 Oil Demand Forecast
Oil prices were up once again today, after the International Energy Agency (IEA) increased its oil demand forecast to 91.7 million barrels per day in 2020, despite record supply cuts. Today, July-dated crude rose $1.26, or 3.4%, to settle
at $38.38 per barrel.
Gold also finished higher, as fears of a second coronavirus outbreak in China overshadowed optimistic U.S. retail sales. At last check, gold for August delivery tacked on $9.30, or 0.5%, to settle at $1,736.50 per ounce on the day.