Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Stocks - Wall Street Hits Record Highs on Signs Coronavirus Spread Slowing

Stock Markets Feb 19, 2020 01:22PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Yasin Ebrahim

Investing.com – The S&P and Nasdaq rallied to record highs on Wednesday as reports of a slight decline in Covid-19 cases and hopes for additional stimulus from China prompted investors to resume their bullish bets on stocks.

The S&P 500 rose 0.62%, the Nasdaq Composite surged 1.01% and the Dow Jones Industrial Average rose 0.53%.

China reported 1,749 confirmed new cases of Covid-19 on Wednesday, the lowest number of newly-confirmed cases since Jan. 29, stoking investor optimism that the spread of the virus was slowing.

Also adding to the positive backdrop on Wall Street, Bloomberg reported that Beijing was considering cash injections or mergers to bail out airlines hit by the virus.

Tech powered the broader rally in stocks, led by a 1.7% rise in Apple (NASDAQ:AAPL) as easing virus jitters gave credence to bullish calls from analysts, many of whom had downplayed the tech giant's warning that it will miss second-quarter revenue guidance.

Chip stocks also welcomed a wave of buying, with Nvidia leading the charge higher following a bullish note on the chipmaker from Wall Street.

Bernstein upgraded its rating on Nvidia (NASDAQ:NVDA) to outperform from market perform and hiked its price target on the company to $360 per share from $300 per share, sending its shares to an all-time high, up 5%.

The return of risk appetite triggered selling in U.S. government bonds, sending prices lower and yields higher, pushing bank stocks higher.

JPMorgan (NYSE:JPM), Bank of America (NYSE:BAC) and Goldman Sachs (NYSE:GS) rose more than 1% as a rise in bond yields tends to boost net interest margin – the difference between the interest income generated by banks and the amount of interest paid out to their lenders.

With investor hopes growing that efforts to control the virus are gathering pace, oil prices found their footing, triggering a rebound in energy stocks following a selloff a day earlier.

On the earnings front, investors had to contend with mixed quarterly results.

Garmin (NASDAQ:GRMN) surged 8% after its fourth-quarter results topped estimates on both the top and bottom lines.

Blue Apron (NYSE:APRN) reported fourth-quarter earnings that fell well short of consensus estimates, sending its shares down more than 19%.

Elsewhere, Tesla (NASDAQ:TSLA) continued its run higher, up 7% after Piper Sandler raised its price target on the stock to $928 from $729 on optimism over the electric automaker's move into battery and solar power products.

Stocks - Wall Street Hits Record Highs on Signs Coronavirus Spread Slowing
 

Related Articles

Former Deutsche Bank co-CEO Anshu Jain dies
Former Deutsche Bank co-CEO Anshu Jain dies By Reuters - Aug 13, 2022 2

(Reuters) -Anshu Jain, a top finance executive best known for helping German lender Deutsche Bank AG (NYSE:DB) take on the largest Wall Street firms, died overnight on Saturday...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other 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, don’t trash it.

  •           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. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. 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 (6)
Aleksandrs Bernsteins
Aleksandrs Bernsteins Feb 19, 2020 3:29PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Japan might be next after China
Jerico Talictic
Jerico Talictic Feb 19, 2020 3:22PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
coroma virus spread slowing?? it's getting worse
Andrew Hook
Andrew Hook Feb 19, 2020 2:05PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Lol last year apple +85% increase on market Price versus +8% profits. Thank you FED and Doctor Powell for your hopium injection.
Mart Bab
Rubberduck1973 Feb 19, 2020 2:04PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
Journalisme. No. Market cheerleader. Yes
Feb 19, 2020 1:59PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
always tech and semi nasdaq has 78% gain only due faang+microsoft
Feb 19, 2020 1:40PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
This is a joke! The virus is not slowing! And the market should definitely not be rallying because a randomEvent that threatens the economy doesnt eventuate. Thats ridiculous.
 
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
Continue with Google
or
Sign up with Email