Dow futures gain more than 100 points as optimism over economic recovery grows

Traders working on the New York Stock Exchange (NYSE) today, Wednesday, April 21, 2021.

Source: NYSE

Stock futures rose overnight Thursday as optimism about the economic recovery mounts amid strong labor data.

Futures on the Dow Jones Industrial Average gained 123 points, or 0.36%. The S&P 500 futures were up 0.27%. The Nasdaq 100 futures were up 0.19%.

Salesforce stock rose roughly 5% in expanded trading on Thursday after the software company’s first-quarter earnings exceeded Wall Street’s expectations for revenue and earnings. HP stock fell 5% despite better-than-expected second quarter results.

The Dow Jones Industrial Average rose 141.59 points in regular trading, while the S&P 500 rose 0.1%. The Nasdaq Composite closed flat.

Boeing stocks rose nearly 4% on optimism about the recovery economy. According to the Ministry of Labor, initial unemployment claims fell to a new pandemic low of 406,000.

“Two macro factors could add to increased confidence in today’s recovery: signs of higher inflation and signs of better job placement,” said Chris Hussey, chief executive officer of Goldman Sachs, in a note.

Meme stocks, fueled by traders on Reddit’s WallStreetBets forum, soared on Thursday, with AMC gaining as much as 47%. The cinema chain’s stocks closed 35.6% higher, while another Meme stock, GameStop, rose 4.8%.

The major indices are well on their way to close higher this week. The S&P 500 is up 1.08% since the start of the week. The blue chip Dow is up 0.75% over the same period, while the Nasdaq is up nearly 2%.

This week’s progress is due to investors monitoring the Washington back and forth over a comprehensive package of infrastructure that could further fuel the economic recovery. Senate Republicans on Thursday tabled a $ 928 billion counteroffer for infrastructure to President Joe Biden. However, that’s well below Biden’s recent $ 1.7 trillion offer.

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