Investing.com - American stock indexes opened on Tuesday growth after a long weekend, and the risk appetite was strengthened by a sharp drop in the number of cases of coronavirus diseases and assurances in continuous support from the Federal Reserve System.
09:35 in the morning East time (14:35 Greenwich) The Dow Jonees index grew by 105 points, or 0.3%, to 31.564 points. The S & P 500 index rose by 0.2%, and the NASDAQ Composite index is 0.3%. All three index reached record highs in the first minutes of trading.
These steps were taken after the head of the Federal Reserve Bank of St. Louis James Bullard rejected the assumption that the soft monetary policy of the Fed focuses the "bubble" of assets, whether stocks or assets such as Bitcoin, which today exceeded the mark today $ 50 thousand Bullard rejected the current activity of the shares as "ordinary investment".
Among the separate shares, Palantir Technologies (NYSE: PLTR) were released, which fell by 7.1%, as investors reduced the risks before the blocking of the company after IPO scheduled for this Friday. A previously published quarterly report of the Group did not give sufficient guarantees to support shares holders in the long term.
The shares of mining companies were resilient after the eve of record dividends from the Australian producer of the BHP BilliTon iron ore (NYSE: BHP) and the recovery of dividends payments to the largest supplier of raw materials and rare earth materials Glencore (LON: GLEN). ADR BHP rose 6.9%, and ADR Glencore is 7.0% to the highest level since April 2019. In both cases, a sharp increase in the demand from China on their products allowed groups to compensate significant impairment losses.
New York State Manufacture Industry Index (New York Empire State Manufacturing) increased more than expected, until the highest level since September, which is another sign that clouds over the economy are gradually scattered.
The number of new cases of COVID-19 infection on Monday fell in the United States to the lowest day level since October. The number of people hospitalized with this disease also accounted for only half of the peak level at the beginning of the year.
Despite the emergence of new strains of the virus around the world, Southwest Airlines (NYSE: LUV) stated that it expects that in the next couple of months, its cash losses will decrease as the number of ticket bookings increase. Shares of Southwest Airlines rose by 1%, and then fell to 0.1% again. However, American Airlines shares (NASDAQ: AAL) and United Airlines (NASDAQ: UAL) added more than 2%, and Delta Air Lines (NYSE: DAL) shares rose by 2.2% to the highest level from March last year.
Author Jeffrey Smith
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