- S&P 500 unofficially closed up 27.20 points, or 1.11% , at 2,474.53.
- DJIA unofficially closed up 470.34 points, or 2.27% , at 21,175.25.
- NASDAQ unofficially closed down 31.35 points, or 0.42%, at 7,38 6.51.
US Benchmarks were bid for all of the day on Wednesday until the last hour, with the DJIA and S&P 500 posting their first back-to-back gains since Feb. 12 as investors awaited unprecedented government spending packages, expecting the stimulus to pass imminently. However, signs of a fight between Sen. Bernie Sanders and GOP senators over unemployment aid threatened to delay coronavirus stimulus weighed on US stocks into the close.
Consequently, the three major benchmarks closed well off their intraday peaks. The Dow Jones Industrial Average ended higher by 495 points, or 2.4%, at 21,200, well below its 22,019.93 high. The S&P 500 index added 28 points, or 1.2%, at 2,476, while the Nasdaq Composite Index closed 0.5% lower at 7,384.
Wall Street losing its biggest bid
Investors are waiting for the fact to drop, but there were signs that the news was already being priced in. While the stimulus is most welcomed, with the legislation likely to include direct financial payments to many Americans of $1,600, as well as loans to businesses, it should not be forgotten that the market has just lost its biggest bid - corporate share buybacks.
The stock markets are showing signs of stabilisation with a historic bounce. However, if 2008 and 1987 are anything to go by, this should b a warning that there could be much more downside yet to come.
Trying to catch a falling knife in this volatility with a COVID-19 health crisis exploding in the US, with no cure or vaccine on the table, makes for a dangerous strategy. It is especially worrisome when considering the prospect of an impasse in the Senate, jeopardising the prospects of a quickly approved legislation, which is urgently required in order to make direct payments to Americans, loans to small and larger businesses and resources to States and hospitals to fight the outbreak.
|Today last price||21146|
|Today Daily Change||264.00|
|Today Daily Change %||1.26|
|Today daily open||20882|
|Previous Daily High||20902|
|Previous Daily Low||19004|
|Previous Weekly High||21950|
|Previous Weekly Low||18896|
|Previous Monthly High||29586|
|Previous Monthly Low||24690|
|Daily Fibonacci 38.2%||20176.96|
|Daily Fibonacci 61.8%||19729.04|
|Daily Pivot Point S1||19623.33|
|Daily Pivot Point S2||18364.67|
|Daily Pivot Point S3||17725.33|
|Daily Pivot Point R1||21521.33|
|Daily Pivot Point R2||22160.67|
|Daily Pivot Point R3||23419.33|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.