Stocks Rise On Wall Street 06/28 09:54
NEW YORK (AP) -- Stocks rose broadly in morning trading on Wall Street
Tuesday and gave major indexes a solid push higher following a wobbly start to
The S&P 500 rose 0.5% as of 10:12 a.m. Eastern. The Dow Jones Industrial
Average rose 199 points, or 0.6%, to 31,644 and the Nasdaq rose 0.1%.
Travel-related companies were among the biggest gainers after China eased a
quarantine requirement for people arriving from abroad, raising hopes that the
severe pandemic lockdowns there might be starting to ease.
United Airlines rose 6.3% and Wynn Resorts jumped 8.8%.
Energy stocks also made solid gains as U.S. crude oil prices rose 1.5%. Hess
Treasury yields rose. The yield on the 10-year Treasury note, which helps
set mortgage rates, rose to 3.22% from 3.19% late Monday.. Overseas markets
The easing of quarantine rules in China comes as investors face a pervasive
list of concerns centering around rising inflation squeezing businesses and
consumers. Supply chain problems that have been at the root of rising inflation
were made worse over the last several months by increased restrictions in China
related to COVID-19.
Businesses have been raising prices on everything from food to clothing.
Russia's invasion of Ukraine in February put even more pressure on consumers by
raising energy prices and pumping gasoline prices to record highs. Consumers
were already shifting spending from goods to services as the economy recovered
from the pandemic's impact, but the intensified pressure from inflation has
prompted a sharper shift from discretionary items like electronics to
Business group The Conference Board on Tuesday reported that consumer
confidence fell in June. The results were also much weaker than economists
Pervasive inflation has been behind a stark shift in policy from central
banks, which are raising rates to try and temper inflation after years of
holding rates down to help economic growth. Now, they are trying to slow
economic growth, but investors are worried that they could go too far and
actually push the economy into a recession as key economic indicators are
already showing a slowdown in things like retail sales.
Investors are awaiting remarks expected for midweek by central bank leaders
including Fed Chair Jerome Powell and European Central Bank chief Christine
Lagarde. They will also get another update on U.S. economic growth on Wednesday
when the Commerce Department releases a report on first-quarter gross domestic
Wall Street is also preparing for the latest round of corporate earnings in
the next few weeks, which will help paint a clearer picture of how companies
are dealing with the squeeze from rising costs and consumers curtailing some