Stock market news live updates: Stocks fall after Texas reports spike in Covid-19 hospitalizations – Yahoo Finance

Stocks cut earlier gains, and the S&P 500 and Dow turned negative, after new data showed further spikes in coronavirus cases in some densely populated U.S. states.

Texas’s virus hospitalizations jumped 11% in 24 hours, according to the state, marking the largest one-day jump since the beginning of the month. The densely populated state has in recent days been battling a resurgence in new and serious cases of the coronavirus after beginning to ease lockdown orders. Other populous states including Florida have struggled with similar trends amid their reopenings, with both it and Arizona posting record daily high new cases of the virus earlier this week.

reduce the death risk among patients with severe Covid-19 cases.

nearly $1 trillion infrastructure package also provided a boost to risk assets.” data-reactid=”19″>Meanwhile, earlier reports that the Trump administration was prepping a nearly $1 trillion infrastructure package also provided a boost to risk assets.

showed retail sales surged by a record 17.7% in May over April, with the pace of increase more than double the rate consensus economists expected. The sharp recovery in consumer spending after April’s record decline led at least some economists to pare back their gloomier economic expectations for the second quarter this year.

“The 17.7% m/m rebound in retail sales in May indicates that, as the lockdowns were eased in many states, activity started to recover more quickly than we – and others – had been anticipating,” Andrew Hunter, senior U.S. economist for Capital Economics, wrote in a note. “As a result, we now estimate that real consumption and overall GDP both contracted at a 30% annualized pace in the second quarter, rather than the 40% fall we previously expected.”

While the latest batch of new economic data, including the May jobs report earlier this month, has surprised sharply to the upside, many economists and policymakers continue to call attention to risks of protracted economic weakness, as long as the coronavirus pandemic continues.

during testimony before the Senate Banking Committee Tuesday that, “ Until the public is confident that the disease is contained, a full recovery is unlikely.”” data-reactid=”23″>Federal Reserve Chair Jerome Powell, for his part, said during testimony before the Senate Banking Committee Tuesday that, “ Until the public is confident that the disease is contained, a full recovery is unlikely.”

defended the Fed’s recently announced decision to expand its purchases in the secondary market to include individual corporate bonds, saying the central bank wants “to be there if things turn bad in the economy.”

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10:32 a.m. ET: Stocks trade mostly lower after Texas virus hospitalizations jump

Here were the main moves in markets, as of 10:32 a.m. ET:

• S&P 500 (^GSPC): -8.1 points (-0.26%) to 3,116.64

• Dow (^DJI): -97.87 points (-0.37%) to 26,192.11

• Nasdaq (^IXIC): +9.99 points (+0.1%) to 9,906.31

• Crude (CL=F): -$0.68 (-1.77%) to $37.70 a barrel

• Gold (GC=F): -$5.40 (-0.31%) to $1,731.10 per ounce

• 10-year Treasury (^TNX): -1.9 bps to yield 0.735%

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10:05 a.m. ET: Stocks pare gains, S&P 500 and Dow briefly turn negative

The S&P 500 and Dow cut earlier gains to turn briefly negative before recovering. The energy and utilities sectors lagged in the S&P 500, and declines in shares of Boeing and Exxon Mobil weighed on the Dow. The Nasdaq held higher as big tech stocks including Amazon and Netflix advanced.

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9:31 a.m. ET: Stocks open higher

Here were the main moves in markets, as of 9:31 a.m. ET:

• S&P 500 (^GSPC): +8.63 points (+0.28%) to 3,133.37

• Dow (^DJI): +63.47 points (+0.24%) to 26,353.45

• Nasdaq (^IXIC): +46.09 points (+0.47%) to 9,943.56

• Crude (CL=F): -$0.44 (-1.15%) to $37.94 a barrel

• Gold (GC=F): -$6.90 (-0.4%) to $1,729.60 per ounce

• 10-year Treasury (^TNX): -1.3 bps to yield 0.741%

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8:30 a.m. ET: Housing starts rise 4.3% in May, missing expectations

Housing starts and building permits rose less than expected in May, signaling a slower than anticipated pick-up in new-home building after April’s lows.

Housing starts rose 4.3% to a seasonally adjusted annual rate of 974,000, after falling by a revised 26.4% in April to 934,000. Consensus economists expected housing starts to rise by 23.5%.

Building permits, which indicate future homebuilding, rose 14.4% to a seasonally adjusted annual rate of 1.22 million. This was below expectations for a rise of 16.8% from April’s level, which was revised to show a month on month drop of 21.4% to 1.066 million.

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7:29 a.m. ET Wednesday: Stock futures erase earlier losses and point to higher open

Here were the main moves in markets, as of 7:29 a.m. ET: