The Dow Jones Industrial Average soared on Tuesday, logging its best day in 87 years as investors bet U.S. lawmakers would deliver soon a stimulus bill to rescue the economy from the damage caused by the COVID-19 coronavirus and shutdowns designed to retard its spread. It was an historic bounce coming after an historic sell-off.
Investor sentiment turned positive as lawmakers and the Trump administration neared agreement on a $2 trillion coronavirus stimulus package.
The 30-stock average closed 2,112.98 points higher — or more than 11% — at 20,704.91, notching its biggest one-day percentage gain since 1933. The S&P 500 rallied 9.4% to 2,447.33 for its best day since October 2008. The Nasdaq Composite surged 8.1% to 7,417.86, its best day since March 13. Both the Dow and S&P 500 rebound off their lowest levels since late 2016.
It was the Dow’s fifth-best day ever.
Fred Imbert and Thomas Franck for CNBC:
Tuesday’s gains also came as President Donald Trump signaled he was eager to reopen the economy, despite concerns of public health officials. “We’re opening up this incredible country. Because we have to do that. I would love to have it open by Easter,” Trump said on Tuesday.
Some investors believe coronavirus cases in the U.S. must show signs of peaking before any comeback could be trusted. But the sheer magnitude of the gains on Tuesday were hard to ignore. It was the largest point gain for the Dow ever. It was the second-biggest point gain for the S&P 500 in its history.
MacDailyNews Take: Well, at least we can all say that we live in interesting times!