- US stocks staged a comeback Tuesday after a harsh sell-off the previous day as investors bet on the continued strength of the economic recovery.
- Re-opening stocks in travel, restaurants, and lodging all rallied Tuesday.
- Bitcoin struggled to break back above $30,000.
- Sign up here for our daily newsletter, 10 Things Before the Opening Bell.
US stocks staged a comeback Tuesday after a harsh sell-off the previous day, with the Dow rebounding tk points as investors bought the dip and bet on the continued strength of the economic recovery.
Industrials, real estate, and financial stocks gained the most out of any sectors in the S&P 500. Industries that hinge on the economic re-opening like restaurants, travel, and lodging all ended the day in the green.
On Monday the S&P 500 faced its steepest decline since May while the Dow Jones saw its largest daily drop for the year.
Here’s where US indexes stood at the 4:00 p.m. ET close on Tuesday:
- S&P 500: 4,323.20, up 1.52%
- Dow Jones industrial average: 34,512.39, up 1.62% (550.35 points)
- Nasdaq composite: 14,498.88, up 1.57%
JPMorgan’s head of US equity strategy increased his year-end S&P 500 price target to 4,600 from 4,400, representing potential upside of 8% from Monday’s close. Dubravko Lakos-Bujas remained constructive on equities, and views the latest fears of slowing economic growth “premature and overblown,” according to a Tuesday note.
Billionaire investor Bill Ackman is also bullish about the economy. He told CNBC in a recent interview that he expects a “massive” economic boom in the fall.
Robinhood, the brokerage app set to go public in the coming weeks, said it expects to pay a $30 million penalty in relation to an anti-money laundering probe of its cryptocurrency business, according to an amended S-1 filed with the SEC on Monday.
The yield on the US 10-yr Treasury jumped 3.8 basis points to 1.219%, after hitting its lowest level since February on Monday.
Bitcoin slipped to $29,828 Tuesday, over 50% lower than record highs achieved in April.
Gold was flat at $1,809.