Stocks rose on Tuesday after House Speaker Nancy Pelosi signaled Democrats and the White House were making progress in negotiations for a new fiscal stimulus deal.
The Dow Jones Industrials recovered from Monday’s 400-point plunge, climbing 113.37 points to observe Tuesday’s closing bell at 28,308.79.
The S&P 500 restocked 16.2 points to 3,443.12.
The NASDAQ pointed upward 37.51 points to 11,516.49.
Shares of Carnival Corp. hiked 3.3%, and American Airlines rose 1.9%, as company groups that would benefit the most from the economy reopening led the way higher. Kohl’s jumped 6.6% and Nordstrom advanced 1.2%.
Stocks also rose after the Moderna CEO told the Wall Street Journal that the company’s coronavirus vaccine could be available for emergency use in December if it gets positive results from its interim trial in November.
Dow member Travelers jumped 5.6% on the back of better-than-expected quarterly results. The company posted a profit of $3.12 per share on revenue of $7.77 billion. Analysts polled by Refinitiv expected earnings of $3.03 per share on sales of $7.55 billion.
Pelosi said on Tuesday that both sides made progress in their negotiations. “Hopefully by the end of the day, we’ll know where we all are,” Pelosi told Bloomberg TV. “But I’m optimistic.”
Pelosi gave the Trump administration 48 hours on Sunday to reach a deal on new aid before the Nov. 3 election. However, she said on Tuesday about the 48-hour deadline: “It isn’t that this day was a day that we would have a deal, it was a day that we would have our terms on the table to be able to go to the next step.”
She and Treasury Secretary Steven Mnuchin were expected to talk Tuesday afternoon.
Prices for the 10-Year Treasury lost sharply, lifting yields to 0.79% from Monday’s 0.76%. Treasury prices and yields move in opposite directions.
Oil prices gained 68 cents at $41.51 U.S. a barrel.
Gold prices gained $1.20 to $1,912.90