The Dow Jones Industrial Average closed at 25,548.27 on Wednesday with a gain of 553.16 points or 2.21%. The S&P 500 closed at 3,036.13 for a gain of 44.36 points or 1.48%. The Nasdaq Composite closed at 9,412.36 for a gain of 72.14 points or 0.77%. The VIX Volatility Index was lower at 27.72 for a loss of 0.29 points or -1.04%.
Wednesday’s market movers
U.S. stocks closed higher for a third consecutive trading day on Wednesday. The Dow Jones led from the three major indexes with a gain of 2.21%. Investors continued to be optimistic about reopening plans with the coronavirus curve maintaining stability after the holiday weekend. Consumer discretionary stocks were also higher Wednesday with the SPDR Consumer Discretionary (XLY, Financial) exchange-treded fund gaining 1.71%.
The U.S. reported some concerns over China’s separations with Hong Kong, which may lead to sanctions. The Federal Reserve’s Beige Book showed declining economic activity. The Fed also believes many unemployed workers are reluctant to return to work.
Economic reports affecting market trading included the following:
- The MBA Mortgage Applications Index increased 2.7% following a decrease of 2.6%. The MBA’s average 30-year mortgage rate increased to 3.42% from 3.41%.
- The Richmond Fed Manufacturing Index improved to -27 in May from -53.
- The Treasury held auctions for 119-day bills at a rate of 0.170%, 273-day bills at a rate of 0.180%, two-year notes at a rate of 0.098%, 105-day bills at a rate of 0.165% and five-year notes at a rate of 0.334%.
- The Fed Beige Book reported declines in economic activity.
In the S&P 500, financials and industrials led gains. In the S&P 100, the following stocks led gains:
- Citigroup (C, Financial) 8.32%
- General Electric (GE, Financial) 7.72%
- Capital One (COF, Financial) 7.39%
- American Express (AXP, Financial) 7.26%
- Morgan Stanley (MS, Financial) 6.88%
- Bank of America (BAC, Financial) 6.84%
- Goldman Sachs (GS, Financial) 6.65%
- Lockheed Martin (LMT, Financial) 6.36%
- Wells Fargo (WFC, Financial) 6.23%
- JPMorgan (JPM, Financial) 5.72%
Tesla (TSLA, Financial) gained 0.17% to $820.23 with the company’s SpaceX launch.
Small-cap stocks
In small caps, the Russell 2000 closed at 1,434.15 for a gain of 41.08 points or 2.95%. The S&P 600 closed at 837.98 for a gain of 31.51 points or 3.91%. The Dow Jones U.S. Small-Cap Growth Index closed at 9,821.18 for a gain of 223.51 points or 2.33%. The Dow Jones U.S. Small-Cap Value Index closed at 7,070.97 for a gain of 313.07 points or 4.63%.
Other notable indexes
Other notable index closes included the S&P 400 Mid-Cap Index at 1,799.27 for a gain of 46.24 points or 2.64%; the S&P 100 at 1,386.61 for a gain of 16.63 points or 1.21%; the Nasdaq 100 at 9,442.05 for a gain of 52.07 points or 0.55%; the Russell 3000 at 1,770.16 for a gain of 27.73 points or 1.59%; the Russell 1000 at 1,678.34 for a gain of 24.72 points or 1.49%; the Wilshire 5000 at 30,912.32 for a gain of 485.88 points or 1.60%; and the Dow Jones U.S. Select Dividend Index at 591.08 for a gain of 14.01 points or 2.43%.
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