Friday’s Stock Market Open: US Equities Modestly Higher Although Covid-19 Cases Spike

Update: 12:05 p.m. EDT:

U.S. stocks rose on some positive covid-19 vaccine news.

The Dow Jones Industrial Average gained 217.38 points to 25,923.47, while the S&P 500 rose 14.03 points to 3,166.08 and the Nasdaq Composite Index rose 1.15 points to 10,548.90.

In Europe markets finished higher, as Britain’s FTSE-100 gained 0.76%, while France’s CAC-40 climbed 1.01% and Germany’s DAX rose 1.15%.

Gilead Sciences (GILD) said its coronavirus drug candidate, remdesivir, “was associated with an improvement in clinical recovery.”

Original story:

U.S. stocks opened moderately higher on Friday one day after Nasdaq marked another all-time closing high.

The Dow Jones Industrial Average gained 22.26 points to 25,728.35, while the S&P 500 edge up 4.1 points to 3,156.15 and the Nasdaq Composite Index rose 3.9 points to 10,551.65.

Democratic presidential nominee Joe Biden called for an end to the “era of shareholder capitalism.”

The Labor Department said on Friday that its producer price index dropped 0.2% in June after recovering 0.4% in May. For the 12-month period through June, the PPI fell 0.8%.

Coronavirus-related hospitalizations spiked to a record in Florida, while California and Texas witnessed rising cases and more deaths.

“We’re going to see intermittent periods of shutdowns over the next year or so while we’re still grappling with this virus,” said Erin Browne, a multi-asset portfolio manager at Pacific Investment Management Co., to Bloomberg. “But I wouldn’t expect we’re likely to see a wholesale shutdown of the U.S. economy like we saw earlier this year.”

“The path forward for the economy will likely hinge on the amount of financial scarring that occurs in the months ahead and degree of consumer engagement as coronavirus concerns fluctuate,” wrote Bruce Bittles, chief investment strategist at Baird. “High levels of initial jobless claims and evidence that small businesses are closing are sobering reminders of the economic challenges that lie ahead.”

Overnight in Asia markets finished lower, as China’s Shanghai Composite index tumbled 1.95%; Japan’s Nikkei-225 fell 1.06%; and Hong Kong’s Hang Seng exchange dropped 1.84%.

In Europe markets traded lower, as Britain’s FTSE-100 gained 0.64%, while France’s CAC-40 climbed 0.65% and Germany’s DAX rose 0.7%.

Crude oil futures edged up 0.1% at $39.66 per barrel, Brent crude inched up 0.09% at $42.39. Gold futures gained 0.61%.