Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Dow Jumps 530 Points as Renewed Stimulus Hopes Boost Value Stocks

Stock MarketsOct 07, 2020 04:07PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Yasin Ebrahim

Investing.com – The Dow rallied on Wednesday as value stocks like consumer discretionary and industrials caught a bid on renewed hopes for stimulus after President Donald Trump said he was in favor of targeted coronavirus aid.

The Dow Jones Industrial Average rose 1.91%, or 530 points. The S&P 500 was up 1.67%, while the Nasdaq Composite added 1.88%.

President Trump said he was ready to sign off on piecemeal measures, including support for individuals, small businesses and airlines.  

Delta Air Line (NYSE:DAL) rose more than 3%, while American Airlines (NASDAQ:AAL) and United Airlines Holdings (NASDAQ:UAL) ended up more than 4%.

The call for targeted stimulus comes a day after Trump halted the talks and claimed U.S. House Speaker Nancy Pelosi was negotiating in bad faith. 

Tech, meanwhile, pared its losses from a day earlier, despite coming under increased scrutiny after Congress released a report condemning big tech's monopoly power and called for a break up.   

Apple (NASDAQ:AAPL) and Microsoft (NASDAQ:MSFT) Alphabet (NASDAQ:GOOGL) Amazon.com (NASDAQ:AMZN) and Facebook (NASDAQ:FB), which together make up a quarter weighting of the S&P 500, ending higher. 

Netflix (NASDAQ:NFLX), meanwhile, closed 6% higher after Pivotal Research upgraded its price target on the stock to $650 from $600, citing a ramp-up in cord-cutting trends.

Elsewhere, Tesla (NASDAQ:TSLA) climbed 3% after CEO Elon Musk said the company had a shot at delivering 500,000 vehicles by year-end, Reuters reported, citing a company memo.

Energy lagged the broader move higher, weighed down by falling oil prices on renewed demand concerns after data showed U.S. weekly crude supplies rose by more than expected.

In earnings news, Levi Strauss (NYSE:LEVI) reported quarterly earnings of 8 cents per share, topping estimates for a loss of 22 cents per share, sending the stock more than 6% higher.

On the health care front, Eli Lilly and Company (NYSE:LLY) jumped 4% after filing a Food and Drug Administration emergency use authorization for its experimental Covid-19 antibody therapy. The company said early results from a study of the antibody therapy suggested the drug reduced symptoms and hospitalizations for patients with mild or moderate Covid-19.

Dow Jumps 530 Points as Renewed Stimulus Hopes Boost Value Stocks
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (28)
New Jazenevd
New Jazenevd Oct 07, 2020 8:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Market is strong and will likely continue this way after election. It make sense to be heavily invested by Election Day with some moderate hedging, just in case.
Tricky Dick
TrickyDick Oct 07, 2020 8:11PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
They must really be tight on cash here. They continuously recycle the same pictures from 1989 and just regurgitate the articles. Investors are (hopeful, doubtful - choose 1) over (Vaccine, stimulus - choose 1).
Bryan Cooper
Bryan Cooper Oct 07, 2020 8:07PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
stock market is over-reacting. there will be no stimulus bill till new congress is seated next year. no lame-duck session in november due to prolonged election results. it is all adding up up to a depressed holiday spending season. all this optimism is nothing more than wishful thinking
Bret Lafrance
Bret Lafrance Oct 07, 2020 7:39PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The beauty of a democracy and freedom of speech is that they allow for the voicing of differing opinions, respecting thise opinions is optional.
king michael
king michael Oct 07, 2020 6:58PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
It is very questionable if Democratic party is interested in talking a selective stimulus program with Whitehouse. So Trump may have to eat his own word again which is the immediate potential risk to the market. As the earning report period is starting, market will also swing with earning numbers.
Thom Miller
Thom Miller Oct 07, 2020 6:32PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
I see there are some posters on here who don’t believe in democracy. Fine....move to North Korea. So long!
Thom Miller
Thom Miller Oct 07, 2020 6:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Unbelievable. The US democracy is under attack by Texas Trumpers who are trying to do everything in their power to prevent people from voting during a pandemic. The rallying cry, “ Remember the Alamo” has never rung so hollow as it does today. Shameful! But at least the Texas Supreme Court would not let them get away with their sneaky ploy!
GJ DJT
GJDJT Oct 07, 2020 6:04PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
no more stimulus without over sites. no more free money for robinhood gamblers.
Bryan Cooper
Bryan Cooper Oct 07, 2020 5:51PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
is trump manipulating the stock market?
Thom Miller
Thom Miller Oct 07, 2020 5:51PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yes....and he always has by demanding the Fed have 0% interest rates. Don’t you remember him whining and whining about this a year or two ago?
Bryan Cooper
Bryan Cooper Oct 07, 2020 5:50PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
is trump manilulating the stock market?
Luis Parola
Luis Parola Oct 07, 2020 5:50PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
duh, he has been
Luis Parola
Luis Parola Oct 07, 2020 5:50PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
yes
Deborah Sbeghen
Deborah Sbeghen Oct 07, 2020 5:29PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Jerome Powell said small business havent taken their stimulus in order not to increase debt. He realises stimulus don't work anymore.
Easy Trade
Easy Trade Oct 07, 2020 5:29PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
no, he did not say that. In fact, most small businesses with sense took the almost 0% money and laid people off and ate the penalty because it the terms even under penalty were amazing.
John Mars
John Mars Oct 07, 2020 5:16PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Trump is day trading again.
Chris Sundo
Chris Sundo Oct 07, 2020 5:15PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
.. and Donnie is laughing all the way to his broker's bank accounts LOL. He went long in options yesterday at the close having been briefed by his trader insiders and full well knowing what the general mood is today. After all, Donnie needs to come up with 300M in the next few weeks and months on personal liability calls and whatever he can clean up from the public purse by dipping his paws in there, after firing successive Inspectors General to keep tabs on gov't corruption, well, that won't be enough to shore up cash for those 300M. So, yeah, throwing millions into calls after August and buying the dips like yesterday is critical for him, and heck, the SEC is sleeping with their fingers on the button, so why not?
Ricardo Diogo
rcd72 Oct 07, 2020 4:59PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
"hopes". b la bla ... the reality is 20% decrease GDP and unemployment rising steadily
Troy Nguyen
MrHonest Oct 07, 2020 4:57PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
The cover photo has been recycled so many times daily stimulus hope 🙏Haven’t seen vaccine news lately though 🙄
Ricardo Diogo
rcd72 Oct 07, 2020 4:56PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
stimulus stimulus ...because the price for these stocks is 0 zero!
Swapnil Bensekar
Swapnil Bensekar Oct 07, 2020 4:47PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Not sensible ... Market is up for 2 months on same ...title "stimulus Hope" & People are loosing job @ same time.
Swapnil Bensekar
Swapnil Bensekar Oct 07, 2020 4:46PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Not sensible ... Market is up for 2 months on same ...title "stimulus Hope" & People are loosing job @ same time.
New Jazenevd
New Jazenevd Oct 07, 2020 4:39PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Market is strong, supported by extra liquidity, aka new money. Also, stimulus will be in place anyway, sooner or latter. Stay invested and invest more.
עמי מגלד
עמי מגלד Oct 07, 2020 4:39PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
offcurse you are new...
New Jazenevd
New Jazenevd Oct 07, 2020 4:39PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
עמי מגלד  What means “new”? New poster on this forum of loserdom?
Amit Patel
Amit Patel Oct 07, 2020 4:37PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Another 800k+ initial unemployment claims are expected tomorrow.
Plopseven Schwartz
Plopseven Schwartz Oct 07, 2020 4:32PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Value stocks like Peloton lolol
simphiwejabu tolmamjabu
simphiwejabu tolmamjabu Oct 07, 2020 4:29PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Hi chief which country are you from ?
big profit
big profit Oct 07, 2020 4:27PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Yesterday - DT...hows ur covid?..i need a lift.need some cash..ok...stimulus deals off....dow jones down ...ok..now take position...Today...ok i sign some stimulus package...Dow Jones up again...Ok ..enough cash..?..now exit...DT..a true joker he is..
znao sam
znao sam Oct 07, 2020 4:24PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Think that casino is very fair game when I read this
Chief Redrum
Chief Redrum Oct 07, 2020 4:23PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
This is why i play long on both sides, easy sells & easy profits.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email