Investing.com - Financial Markets Worldwide
Get 40% Off
Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Dow Eases From Highs on Rising Infections, but Jobs Surge Lifts Hopes

Published 07/02/2020, 12:55 PM
Updated 07/02/2020, 02:28 PM
© Reuters.

By Yasin Ebrahim

Investing.com – Wall Street retreated from highs on Thursday as concerns about rising coronavirus cases reined in some investor optimism following a stronger-than-expected jobs report.

The Dow Jones Industrial Average gained 1.02%, or 263 points, but had gained over 400 points intraday. The S&P 500 rose 1.04% and the Nasdaq Composite added 1.10%,

Florida reported a one-day spike of more than 10,000 coronavirus cases, underscoring further signs that states are struggling to control the spread of the virus that threatens to stall the reopening progress.

The spike in new infections prompted investors to reassess their bullish bets on stocks tied to reopening progress.

Airlines and cruise stocks retreated from session highs; American Airlines (NASDAQ:AAL) turned negative after hitting a session high of $13.42 and Carnival (NYSE:CCL) was also down after rising intraday.

The ongoing rise in new cases cooled some hopes that signs of a quicker-than-expected recovery in jobs point to a V-shape recovery.

The U.S. economy created 4.8 million jobs in June, topping forecasts for 2.9 million jobs, while the unemployment rate fell to 11.1% from 13.3% in May. Economists expected it to drop to 12.4%.

About 33% of lost jobs, or 7.5 million out of 22.2 million, have been clawed back following losses earlier in the month, but some questioned whether the strength can continue as infections continue to mount.

"The June employment report was unambiguously positive, with jobs coming back much faster than anticipated, " Jefferies (NYSE:JEF) said. "While the quick turnaround is very encouraging, sustainability remains in question given the covid resurgence and the rollback of reopening in some states."

Energy was among the biggest gainers, underpinned by rising oil prices as investor worries about demand abated.

Noble Energy (NASDAQ:NBL) Marathon Oil (NYSE:MRO) and Diamondback Energy (NASDAQ:FANG) led the sector higher.

Growth in emerging economies, low energy prices and rising petrochemical sales will support oil demand, Goldman Sachs (NYSE:GS) said. The bank forecasts oil demand to decline by 8% this year, rebound by 6% in 2021 and reach pre-Covid levels in 2022.

In other news, Tesla (NASDAQ:TSLA) surged 8% to an all-time high as its second-quarter vehicle deliveries, topped analysts estimates at a time when others in the auto industry have seen sales slump.

Tesla delivered 90,650 vehicles during the quarter, well above estimates for 74,130 vehicles.

Elsewhere, insurance tech company Lemonade (NYSE:LMND) rallied on its public market debut, soaring 105%. The stock was priced at $29 per share.

Moderna (NASDAQ:MRNA), the frontrunner in the race to find a Covid vaccine, fell 5% on news the drugmaker will delay a clinical trial for its Covid-19 vaccine candidate. The move marked a blow to the drugmaker's expectations to deliver key data from the trial by Thanksgiving. 

Latest comments

imagine where would the country be if it wasn't for the Chinese virus and the democ.rtas lockdowns
Herman Cain, one of only several Black Trump supporters, attended Dr Donny’s nearly-empty Tulsa “rally.” And guess where Herman Cain is today? In an Atlanta hospital. And what ailment does Herman Cain have? Well, well, well....he tested positive for Covid-19, and he had so much difficulty breathing, he had to be hospitalized. Just one of many who has contracted the virus due to Dr Donny’s botched handling of the threat.
If a Dem was the President the deaths would be triple. They did not know what the virus was back in February, as they were focused on impeachment. You'll see in Nov who the President is.
show me any scientific prove of COVID19 ? There's none .
https://off-guardian.org/2020/06/27/covid19-pcr-tests-are-scientifically-meaningless/?fbclid=IwAR0CmkGfqJNY6jnDObv71beaHBOOL8mMNM64a8SvDGxF7icgFzRSesVJDaQ
Dr Donny has totally botched the Covid-19 threat....US deaths of 128,000 (far more than any common flu) account for 25% of the world’s total deaths from the virus. And yet, the US only accounts for 4% of the world’s polulation. And the best advice Dr Donny can give the American people is to inject themselves with Lysol. In the process of all this, he’s has created the worst US economy since the Great Depression. If that isn’t re-election material, I don’t know what is.....
COVID-1984 death rate currently lower than the common flu for most of the population. keep trying to fear monger with those case numbers though. the more cases, the faster people become immune and this burns out. death rate plummeting. democrats going to start looting and rioting again because this isnt working anymore.
biden will get obliterated at the debates, why his handlers are hiding him from speaking in public
What highs??  ..lemme grab my eyeglasses...so the Dow is -8.8% YTD...so actually is at lows..
love everybody trying to spread fear. case count up with more testing in US, mortality rate falling. many people immune. virus will burn out soon. will magically disappear November 4 2020
calm down man..not even journalists believe in covid anymore..but they are paid to seed panic...only business, nothing personal
criminal what they are doing, and every time they prove trump right in their deceit it is more support for him
people do realize that most people who test positive are simply immune to the virus.... that is actually a good thing
fully agree...this must have been done since February...good old herd immunity..never fails.
Who believes these higher and higher infections are driving the markets?
OMG MORE PEOPLE ARE HAVING ASYMPTOMATIC CASES AND GETTING IMMUNE TO COVID-1984 AS DEATH RATE PLUMMETS AND OTHER COUNTIES NO LONGER EVEN TESTING! BETTER VOTE FOR DEMENTIA BIDEN!
If you haven’t learned by now the rich missed the bottom, so they use the media to pump out FAKENEWS to cause panic selling retailers. The CDC is helping them when they added probable COVID cases to count with confirmed cases. Read this from the CDC, {A COVID-19 case INCLUDES CONFIRMED and PROBABLY cases and deaths} {A probable case or death is defined as: A person meeting clinical criteria AND epidemiologic evidence with NO CONFIRMING LABORATORY TESTING PERFORMED FOR COVID-19; A person meeting presumptive laboratory evidence AND either clinical criteria OR epidemiologic evidence; A person meeting vital records criteria WITH NO CONFIRMATORY LABORATORY TESTING PERFORMED FOR COVID-19.} HERE IS THE CDC LINK https://www.cdc.gov/coronavirus/2019-ncov/covid-data/faq-surveillance.html
https://banned.video/watch?id=5efab695672706002f367a0a
"MARKETS DOWN 0.1% FROM HIGHS DUE TO RISING INFECTIONS!"... these communist propagandists do realist how ridiculous they sound, right? yes the number of cases of the common flu and car accidents and cancer deaths also goes up. when you start mass testing the population for a virus that causes no symptoms in 99% of the people it infects and simply makes them immune this sort of thing happens. quit the fearmongering nonsense.
Florida is a great state, so it deserves great Covid stats also.
compare NY and florida death rates. florida has more asymptomatic cases like everywhere in the world now. NY governor cuomo stuffed elderly people in nursing homes and cause the highest mortality rate in the country in his state. lockdowns did more damage than good.
la semana que viene el oso tomara al toro por los cachos
Fed will leave all alone soon as Administration did on covid
Hopes for DOW reaching 33K
35K
You mean 18k
That guy in the picture looks like he is praying, praying that the scam goes on long enough to get his kids through college?
the guy is praying for another lockdown to stay home and to receive paycheck for that
The fed has more tricks than Enron!
Ok this is getting way out of hand!!!! Can we please get some solid REAL NEWS so we understand the correct direction??? This market is way over valued.
Is there anyone in doubt that Fed is controlling the bullish and bearing on the market?Two days ago on the rumor that Boeing will receive the grant to test their abomination aircraft Max,Dow rose 500 points,or the guys writing the articles here they're painting an abstract picture. Yesterday Mr Fauci said that he is forecast an epidemic of 100000 case's per day,and Dow climb again.....
Agreed,,, this is out of hand
Sinister!
Fauci....who is this Fauci?
These headlines need more unicorns!
Infections now count probable causes without labratory tests! So Keep continuing the infections lies Perpetrated by the CDC at your own Peril. Read this from the CDC, “A COVID-19 case includes confirmed and probable cases and deaths” and “A probable case or death is defined as:A person meeting clinical criteria AND epidemiologic evidence with no confirmatory laboratory testing performed for COVID-19;A person meeting presumptive laboratory evidence AND either clinical criteria OR epidemiologic evidence;A person meeting vital records criteria with no confirmatory laboratory testing performed for COVID-19.” https://www.cdc.gov/coronavirus/2019-ncov/covid-data/faq-surveillance.html
do not worry by EOD Dow will cross today's high
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.