Tuesday’s Stock Market Close: US Equities Rise As Washington Lawmakers Continue To Debate New Stimulus Package

U.S. stocks climbed on Tuesday as Democrat lawmakers continue to wrangle with White House over a new stimulus bill.

The Dow Jones Industrial Average rose 164.07 points to 26,828.47, while the S&P 500 gained 11.9 points to 3,306.51 and the Nasdaq Composite Index climbed 38.37 points to 10,941.17.

Tuesday’s volume on the New York Stock Exchange totaled 3.9 billion shares with 1,859 issues advancing, 101 setting new highs, and 1,149 declining, with 10 stocks setting new lows .

Active movers were led by Sorrento Therapeutics Inc. (SRNE) , Advanced Micro Devices Inc. (AMD) and NIO Inc. (NIO).

House Speaker Nancy Pelosi told Fox News on Tuesday that does not think a new COVID-19 relief bill will emerge this week.

Senate Majority Leader Mitch McConnell said on Tuesday that once Democrats and the Trump administration reach an agreement on new stimulus, he will back it even if he disagrees with parts of the package.

“Wherever this thing settles between the president of the United States and his team, that have to sign it into law… I’m prepared to support even if I have some problems with certain parts of it,” he said.

McConnell also criticized Democrats for prolonging talks with the White House.

“Every day the Democratic leaders repeat the same act here in the Capitol -- they’re letting down the struggling people who need our help,” McConnell said.

“In our opinion, Congress will muster the fortitude to deliver near-term stimulus support,” said Darrell Cronk, president of Wells Fargo Investment Management. “However, a greater challenge comes in 2021 when this year’s extraordinary fiscal stimulus programs fade.”

CoreLogic said that home prices rose by 4.9% on an annualized basis in June, after a 4.1% annual rise in May.

“We see U.S. stocks at risk of fading fiscal stimulus,” wrote BlackRock Investment Institute strategists led by Mike Pyle. “U.S. employment figures are in focus this week as this fiscal cliff nears and the pandemic’s spread in Sunbelt states is starting to affect economic activity.”

Overnight in Asia markets finished higher, as China’s Shanghai Composite index edged up 0.11%; Japan’s Nikkei-225 gained 1.7%; and Hong Kong’s Hang Seng exchange rose 2%.

In Europe markets finished narrowly mixed, as Britain’s FTSE-100 edged up 0.05%, while France’s CAC-40 inched up 0.28% and Germany’s DAX slipped 0.36%.

Crude oil futures gained 1.27% at $41.53 per barrel, Brent crude fell 0.25% at $44.32. Gold futures jumped 2.38%.

The euro gained 0.3% at $1.1799 while the pound sterling slipped 0.05% at $1.3068.

The yield on the 10-year Treasury plunged 8.53% to 0.515% while yield on the 30-year Treasury dropped 4.34% to 1.191%.