Stocks rose broadly on Wall Street on Thursday (US time) as investors continue to monitor the spread of the new coronavirus variant as well as measures that the US and other governments are taking to restrain it.
In early afternoon trade, the S&P 500 is 1.6 per cent higher, the Dow Jones has added 1.8 per cent and the Nasdaq is up 0.6 per cent. The Australian sharemarket is set for a bright start with futures at 5.01am AEDT pointing to a rise of 57 points, or 0.8 per cent, at the open.
Wall Street has jumped across the board on THursday. Credit:Bloomberg
The broader market has been choppy all week and every major index is on track for a weekly loss as investors try to gauge the amount of damage the omicron variant of COVID-19 might inflict on the economy. Wall Street will likely remain jumpy until investors have more information whether the latest variant is highly contagious and how well current vaccines will hold up.
More than 90 per cent of companies in the S&P 500 index rose. The index has been on a roller coaster ride throughout the week. It was up as much as 1.9 per cent Wednesday before skidding and closing 1.2 per cent lower.
Banks and other financial companies lead the gains. Bank of America rose 3.4 per cent and American Express rose 4.3 per cent.
Technology companies also rose, but the gains crimped by a 1.8 per cent drop from Apple after the iPhone maker reportedly warned suppliers that it is seeing weak demand ahead of the holiday season.
Bond yields were relatively stable. The yield on the 10-year Treasury rose to 1.45 per cent from 1.43 per cent late on Wednesday.
US crude oil prices rose 1.1 per cent. OPEC and allied oil-producing countries have decided to maintain the amount of oil they pump to the world even as the new omicron variant potentially threatens the economy. Energy companies gained ground. Chevron rose 2.7 per cent.
