Wall Street ends higher as investors eye stimulus

While investors awaited more U.S. government stimulus to fight economic fallout from prolonged COVID-19 shutdowns, Wall Street ended higher on Tuesday, lifted by Apple and energy stocks, but limited by declines in AIG and Microsoft.

Wall Street ends higher as investors eye stimulusNoel Randewich and Gertrude Chavez-Dreyfuss for Reuters:

Apple climbed 0.7%, up for a fifth straight session as investors cheered the iPhone maker’s blowout quarterly report last week. The Silicon Valley heavyweight is around $120 billion away from becoming the first U.S. publicly listed company with a stock market value of $2 trillion…

83% of the 352 companies in the S&P 500 that have reported quarterly results so far have beaten estimates for earnings, according to IBES Refinitiv data. “Investors are still comfortable that the trajectory of earnings is on the right path and the 2021 outlook has remained intact. All that helps support the market at these levels,” said Lindsey Bell, chief investment strategist at Ally Invest…

The Dow Jones Industrial Average rose 0.62% to end at 26,828.47 points, while the S&P 500 gained 0.36% to 3,306.51. The Nasdaq Composite climbed 0.35% to 10,941.17.

MacDailyNews Note: According to a report tonight from Forbes, a U.S. stimulus package agreement is expected by Friday:

After days of butting heads, Treasury Secretary Steven Mnuchin and White House chief of staff Mark Meadows, who have been leading negotiations for Republicans, emerged from discussions with House Speaker Nancy Pelosi and Minority Leader Chuck Schumer with a glimmer of hope.

While still far apart on key issues, there is at least agreement on the schedule to reach an agreement. Negotiators committed to a timeline of striking a deal by the end of this week so that both the House and the Senate could vote next week… While this is a step in the right direction, there are still a number of unresolved issues that could derail even this loose timeline. Overall, the two sides are still far on the overall cost of the relief bill…

Both sides are in agreement about sending Americans a second stimulus check, potentially $1,200 for single filers and other issues. “I think on testing, we’re close. On schools, in reality, we would be close if they wanted to be close. On child care. Hopefully on vaccine,” Senator Roy Blunt (R-Missouri) said, according to The Washington Post. However, on other issues, the two sides remain at odds. These include aid to state and local governments as well as the thorniest point over what rate to extend the federal unemployment benefit.

The least productive people are usually the ones who are most in favor of holding meetings. — Thomas Sowell

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