S&P out of Red for ‘25
The S&P 500 rose Tuesday, clawing back into positive territory for the year, as investors extended the sharp gains seen in the previous session due to easing U.S.-China trade tensions.
The Dow Jones Industrials caved 269.67 points Tuesday, at 42,140.43, as a 16% drop in UnitedHealth pressured the benchmark.
The much-broader index gained 42.36 points to 5,886.55. Tuesday’s gain put the S&P 500 up 0.2% for 2025. At one point, the index was down more than 17% for the year, as trade tensions dented investor confidence in equities.
The NASDAQ Composite popped 301.74 points, or 1.6%, to 19,010.09
Shares of Nvidia advanced 6% on news that the company would send 18,000 of its top artificial intelligence chips to Saudi Arabia. Peer chip stocks rose alongside the AI darling, with Broadcom and AMD adding roughly 4% each.
Johnson & Johnson’s stock fell Tuesday, but is up more than 6% year to date.
A proposed rule from the Centers for Medicare & Medicaid Services is bad news for Johnson & Johnson’s Darzalex Faspro therapy, according to Leerink Partners.
The draft says combination treatments are protected for 13 years from the date that the original compound was approved, not when the combination therapy was cleared for use.
The consumer price index, a broad measure of goods and services costs across the U.S. economy, increased 2.3% on an annualized basis in April.
Economists polled by Dow Jones expected inflation to remain at a 2.4% rate last month on a year-over-year basis. Excluding food and energy, so-called core inflation ran at a 2.8% annual rate, which matched consensus estimates and was also unchanged from the prior month.
That report comes after Wall Street enjoyed a huge rally Monday after the U.S. and China agreed to slash steep tariffs for 90 days, raising hopes a trade war won’t tip the economy into a recession.
Prices for the 10-year Treasury lost some ground, raising yields to 4.49% from Monday’s 4.47%. Treasury prices and yields move in opposite directions
Oil prices gained $1.70 to $63.65U.S. a barrel.
Prices for gold jumped $25.30 to $3,253.30 U.S.
