U.S. Stocks Extend Gains; Dow Rallies 272 Points
The Dow Jones, S&P 500 and Nasdaq Composite rose on Tuesday.
The Dow and broader U.S. stock market rose on Tuesday, as investors continued to rally behind upbeat corporate earnings and signs that the Federal Reserve will remain cautious in normalizing monetary policy.
Wall Street’s major indices were higher at the close, with the Dow Jones Industrial Average (DIA) rising 272.00 points, or 0.8%, to 35,403.86.
The broad S&P 500 Index (SPY) of large-cap stocks rose 0.7% to settle at 4,546.35. Most sectors finished in positive territory.
Meanwhile, the technology-focused Nasdaq Composite Index (QQQ) gained 0.8% to settle at 14,346.00.
A measure of implied volatility known as the CBOE VIX (VXX) declined on Tuesday. The so-called “investor fear index” reached an intraday low of 22.45 on a scale of 1-100, where 20 represents the historical average. It would eventually settle down 9.2% at 22.54.
In commodities, oil prices were mixed on Tuesday, as U.S. West Texas Intermediate gained 9 cents, or 0.1%, to $88.24 a barrel on the New York Mercantile Exchange. Brent, the international futures contract, fell 7 cents, or 0.1%, to $89.19 a barrel.
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In precious metals, gold prices rose, as the April futures contract gained $3.90, or 0.2%, to $1,800.30 a troy ounce on the Comex division of the New York Mercantile Exchange. Silver futures climbed 23 cents, or 1%, to trade at $22.63 a troy ounce.
The Final Word: In economic data, the Institute for Supply Management’s manufacturing purchasing managers’ index weakened to 57.6 in January from 58.8 in December. Separately, construction spending rose 0.2% in December, according to the Department of Commerce.