Stocks are rallying at the start of a short holiday week, building on earlier strength even as coronavirus cases continue to climb.
Dow Jones Industrial Average
was up 1.5% shortly after midday, while the
had gained 1%, and the
Investors are cheering
(ticker: BA) which jumped 6.3% on news that regulators will begin test flights for its grounded 737 MAX aircraft. Also lending a positive tone to the market was a report from the National Association of Realtors that found pending home sales jumped 44.3% in May from April, beating expectations.
Stocks are rising even as a dozen U.S. states have rolled back reopening plans in response to rising cases of Covid-19. Health and Human Services Secretary Alex Azar said over the weekend that the U.S. was running out of time to manage the pandemic.
At least things were relatively quiet on the U.S.-China front.
“Investors are watching two major risks: the pattern of the economic recovery from the shutdowns and the state of relations between the two largest economies,” Brian Jacobsen, multiasset strategist at Wells Fargo Asset Management, wrote in a blog post. “There’s always something to worry about. It would actually be worrying if there wasn’t something to worry about.”
(AAPL) stock rose 1.9% on reports that the next generation of iPhones will come without power adapters or EarPods to keep costs low.
(BYND) fell 10% after Barclays double downgraded the stock to Sell from Buy.
(COTY) rallied 8.9% after making a deal to buy a 20% stake in Kim Kardashian West’s beauty line.
(CRSP) was up 1.2%. Piper Sandler called the stock a top pick.
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