All three major indices finished in the green on Tuesday, as a gravity-defying rally off the March 23 lows continued. Since the market’s nadir in the early days of spring, the Dow has advanced 47%, the S&P 500 has rallied 51%, and the Nasdaq is up 65%.
There was little in the way of specifics to justify the uptick on Tuesday, but traders may be celebrating what may be improving virus trends in the U.S. and a second-quarter earnings season that has far surpassed analyst expectations.
That said, investors are still sending mixed messages: The 10-year Treasury yield flirted with record lows on the day, hovering around the 0.5% level. That’s its lowest rate since March 9, and if the rate falls below 0.5%, then it will set a new record for a closing low.
The Dow Jones Industrial Average rose 0.6%, or 164 points, to finish at 26,828.
Gold soars past $2,000. Gold prices, which were already at record highs, continued to rocket higher — another sign that investors are a bit warier than the rapidly advancing equity markets indicate. The precious metal added more than 2% on Tuesday, trading above $2,030 and exceeding the $2,000 level.
Not a great picture: SEC looking into Kodak. The Securities and Exchange Commission is reportedly looking into Eastman Kodak (ticker: KODK), and the way the company disclosed a $765 million government loan to launch drug production at U.S. factories.
Several executives also received potentially lucrative options contracts before the loan was officially announced — another topic of SEC inquiry, according to The Wall Street Journal. The announcement of the loan, which in turn caused a massive surge in Kodak’s share price, also seems to have been leaked, causing shares to surge before the news became official.
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