Stocks Cut Gains After Open
Stocks rallied on Tuesday, building on the strong gains from the previous session, as investors grew more optimistic about a decline in new coronavirus cases.
The Dow Jones Industrials gained 481.04 points, or 2.1%, to 23,161.03. Those gains initially numbered around 800 points.
The S&P 500 climbed 47.64 points, or 1.8%, to 2,711.32. The S&P 500 is up 24.7% from its 52-week low set March 23 while the Dow has bounced 28% from its low.
The NASDAQ Composite jumped 91.15 points, or 1.2%, to 8,004.38.
Carnival, Norwegian Cruise Line and Royal Caribbean all surged more than 23%. United Airlines and MGM Resorts jumped more than 14% each. Raytheon Technologies led the Dow higher with a 9% surge. Darden Restaurants rallied more than 18% after the restaurant company said it has not used any cash from a $750-million revolving credit agreement.
The moves higher came after a series of positive coronavirus developments from around the world.
In the U.S., the number of new cases appears to have fallen in recent days from their recent peak. Italy and Spain, two of the hardest-hit countries, are also seeing new cases fall off.
In Asia, South Korea reported less than 50 new cases of infection for the second day running. China also posted no new deaths as of April 6 for the first time since January when it started publishing daily updates.
The two Asian countries were among those which saw spikes in infection rates earlier in the outbreak, with the first cases being reported out of China.
Still, the cases in the U.S., the world’s most affected country, topped 368,000 with at least 10,000 deaths, according to data from Johns Hopkins University.
Prices for the 10-Year U.S. Treasury plummeted, lifting yields to 0.76% from Monday’s 0.67%. Treasury prices and yields move in opposite directions.
Oil prices recovered 44 cents to $26.52 U.S. a barrel. Gold prices ditched $4.60 to $1,689.30 U.S. an ounce.