Wall St bank opening higher, growth stocks rose; 1% off
Wall Street’s main indexes opened higher on Monday, helped by a rebound in growth and bank shares, after the benchmark S&P 500 index hovered near a bad market milestone late last week. .
US President Joe Biden signaled today that he would review the tariffs on China imposed by the Trump administration.
Appearing in Tokyo to launch a new Asia-Pacific trade initiative, the US President said he was considering removing some punitive import taxes enacted by former president Donald Trump on China.
Analysts also pointed to positive market sentiment after stocks rallied on Friday after the S&P 500 briefly plunged into a “bear market” – defined as a drop of more than 20% relative to market peak.
About 25 minutes into trading, the Dow Jones Industrial Average rose 1.1% to 31,619.50.
The broad S&P 500 index rose 0.9 percent to 3,937.92, while the tech-rich Nasdaq Composite added 0.7 percent to 11,429.00.
Among individual companies, VMware rose 18.4% following reports that it was in talks to be acquired by Broadcom. Broadcom fell 4.7%.
“The market has been recovering for quite some time,” writes Paul Nolte, portfolio manager at Kingsview Investment Management. from a persistent sale of the past two months. “
Stocks were volatile as investors assessed the impact of China’s Covid policies and monetary tightening on the outlook for the world’s largest economies. Beijing has reported a record number of cases, stoking fears of lockdowns and adopting more measures to further stabilize the economy.