The Dow Jones Industrial Average closed at 25,745.60 on Thursday with a gain of 299.66 points or 1.18%. The S&P 500 closed at 3,083.76 for a gain of 33.43 points or 1.10%. The Nasdaq Composite closed at 10,017.00 for a gain of 107.84 points or 1.09%. The VIX Volatility Index was lower at 32.05 for a loss of 1.79 points or -5.29%.
Thursday’s market movers
U.S. stocks regained some ground Thursday after states took some retracting steps in their coronavirus plan. Texas says it will temporarily pause its reopening, and in Florida, Apple (AAPL) has re-closed 14 stores.
Investors were also watching economic releases, particularly the final release of the first-quarter gross domestic product report. GDP declined 5% from the fourth quarter to the first quarter. The 5% decline appears modest compared to a 53% decline projected by the Atlanta Fed for the July 30 release of second-quarter results.
Financials led gains in the S&P 500 after the Fed said it would ease some stress test restraints. The Fed will also cap banking dividends and halt buybacks.
In other news:
- Wirecard’s (XTER:WDI) stock fell approximately 90% after auditors found 1.9 billion euros ($2.13 billion) unaccounted for on the balance sheet. The company will be filing for insolvency in Germany.
- Lemonade released details of its planned offering price of around $22 for its initial public offering.
- Mortgage rates were mostly steady according to Freddie Mac’s weekly mortgage market survey. The 30-year fixed-rate mortgage averaged 3.13%, unchanged from the previous week. The 15-year fixed-rate mortgage averaged 2.59%, up from 2.58%.
- The BEA released its final GDP growth rate report, showing a decline of 5% in the first quarter.
- Corporate profits were down 12.4% in the first quarter.
- Durable goods orders increased 15.8% in May, beating the estimate of 8.5%. Durable goods orders excluding transportation increased 4% and durable goods orders excluding defense increased 15.5%.
- The goods trade balance was -$74.34 billion compared to the previous -$70.73 billion.
- About 1.480 million Americans applied for jobless claims, down from 1.540 million in the previous week. Continuing jobless claims decreased to 19.522 million form 20.289 million.
- Wholesale inventories decreased 1.2% in May, slightly worse than the estimate of -0.6%.
- The Kansas Fed Manufacturing Index improved to 2 in June from -25.
- The Treasury held auctions for four-week bills at a rate of 0.110%, eight-week bills at a rate of 0.140% and seven-year notes at a rate of 0.511%.
- Nike (Nke) released earnings with a revenue miss and earnings per share miss of 54 cents.
In the S&P 100, the following stocks led gains:
- Accenture (ACN) +7.24%
- Wells Fargo (WFC, Financial) +4.5%
- Halliburton (HAL, Financial) +4.3%
- Goldman Sachs (GS, Financial) +4.24%
- Morgan Stanley (MS, Financial) +3.84%
- Citigroup (C, Financial) +3.52%
- Eli Lilly (LLY, Financial) +3.47%
- Bank of America (BAC, Financial) +3.4%
- JPMorgan (JPM, Financial) +3.35%
- American International Group (AIG, Financial) +2.94%
Small-cap stocks
In small caps, the Russell 2000 closed at 1,413.31 for a gain of 23.57 points or 1.70%. The S&P 600 closed at 812.00 for a gain of 13.73 points or 1.72%. The Dow Jones U.S. Small-Cap Growth Index closed at 9,837.46 for a gain of 132.81 points or 1.37%. The Dow Jones U.S. Small-Cap Value Index closed at 6,796.28 for a gain of 124.92 points or 1.87%.
Other notable indexes
Other notable index closes included the S&P 400 Mid-Cap Index at 1,754.04 for a gain of 22.56 points or 1.30%; the S&P 100 at 1,424.96 for a gain of 16.12 points or 1.14%; the Nasdaq 100 at 10,101.83 for a gain of 99.14 points or 0.99%; the Russell 3000 at 1,797.52 for a gain of 20.96 points or 1.18%; the Russell 1000 at 1,707.70 for a gain of 19.38 points or 1.15%; the Wilshire 5000 at 31,419.23 for a gain of 354.51 points or 1.14%; and the Dow Jones U.S. Select Dividend Index at 573.53 for a gain of 5.40 points or 0.95%.
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