Stocks moved higher in early trading on Thursday, helped by the company’s strong earnings, as well as optimism that Washington could deal for another round of fiscal stimulus for the millions of Americans who need it.
The S&P 500 index was up 0.4% at 9:55 am Eastern. The Dow Jones Industrial Average was up 0.5% and the technology heavy Nasdaq Composite up 0.4%.
All three indices are on pace for a strong weekly gain of over 3%. Stocks have been rallying most of the week in January, with a faded late January start for February as volatility amid concerns of another round of stimulus spending by the Biden administration focused on the effectiveness of the government’s coronavirus vaccine delivery Do not give. .
Wall Street still focuses on individual company’s earnings. Shares of eBay and PayPal rose more than 8%, both companies meeting Wall Street expectations after the results.
Shares of beat-down companies, which were of intense interest by retail investors, were down in early trading. GameStop shares were down by 8%, following a sharp rise in the past two weeks. The stock is on course for a 73% decline this week alone. AMC Entertainment was down 7%.
In Washington, President Joe Biden urged Democrats to “act swiftly” on his economic stimulus plan, but also said he was open to changes. Democrats and Republicans are far from supportive of President Joe Biden’s $ 1.9 trillion stimulus package, but investors are betting that the administration will opt for a reconciliation process to get the legislation through Congress.
In economic data, the number of Americans filing for unemployment benefits fell below 800,000 last week, which was better than economists but still remains high due to the epidemic.
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