Dow Gains as Treasurys Travel Upward
May 07,2024 11:57 am EST
Stocks rose Tuesday, lifted in part by declining Treasury yields, as traders looked for more clues on when the Federal Reserve may start cutting rates.
The Dow Jones Industrials jumped 64.26 points midday to 38,916.53.
The S&P 500 added 13.44 points to 5,194.18.
The NASDAQ took on 31.23 points to 16,3.
Disney shares fell more than 10% after the media and entertainment giant posted a slight revenue miss but exceeded quarterly earnings expectations. Shares of defense-technology firm Palantir plunged roughly 14.5% on weaker-than-expected guidance.
Peloton's stock price jumped more than 13.5% on news that private equity firms have been considering a buyout of the fitness company.
Wall Street is coming off a winning session, with investors riding the momentum seen late last week after fresh U.S. jobs data alleviated concerns that the economy was too hot and Fed Chairman Jerome Powell ruled out an interest rate hike as the central bank's next move.
To be sure, other conflicting economic data — such as an uptick in the employment cost index — indicate there are still questions surrounding the actual trajectory of inflation.
Prices for the 10-year Treasury jumped, lowering yields to 4.42% from Monday's 4.49%. Treasury prices and yields move in opposite directions.
Oil prices removed 18 cents to $77.30 U.S. a barrel.
Gold prices docked $8.60 to $2,322.60.
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