Here are today’s market moves:
S&P 500 up 1.42% to 3,875.44
Dow Jones up 0.095% to 31,832.74
Nasdaq up 3.69% to 13,073.82
Gold: $1,715.70
Bitcoin: $54,530
US10Y: 1.526%
What Happened?
Stocks indexes rallied on Tuesday as bond yields fell back from their recent highs. The S&P 500 rose 1.42%, while the Nasdaq climbed 3.69% – its biggest rally since November.
Today’s rally in tech stocks comes a day after the Nasdaq fell more than 10% from its February peak, putting the index in correction territory.
Retail investors appear to be “buying the dip” – a strategy that has worked quite well in the last year.
Apple, Amazon, and Facebook each gained more than 3% today. Tesla climbed nearly 20% to $673.58 – its best day in a year.
“Meme stocks” also continued their rise, with GameStop shares climbing 28% to $246.90 and AMC shares gaining 13% to $10.50.
Lawmakers are expected to pass the latest version of the $1.9 trillion coronavirus relief package this week.
The Organization for Economic Cooperation and Development said it expected the U.S. economy to grow 6.5 percent this year because of the $1.9 trillion relief package and the distribution of the coronavirus vaccine.
Investors remain cautious about what the additional stimulus might mean for inflation. U.S. inflation data for February will be published tomorrow.
What Else?
This Week
Monday: Earnings expected from H&R Block.
Tuesday: Earnings expected from Stitch Fix and Dick's Sporting Goods.
Wednesday: Earnings expected from Asana, Bumble, and Campbell Soup; Roblox goes public; U.S. February consumer price index data released.
Thursday: Earnings expected from DocuSign, GoodRx, Oracle, Poshmark, and Ulta; Weekly jobless claims; The European Central Bank holds its monetary policy meeting.
Friday: One year anniversary since the March 2020 Covid-19 lockdowns began.