Markets reversed course from their turmoil earlier this week as investors await Biden’s multi-trillion dollar infrastructure speech and the private sector payrolls increase to their highest levels in 6 months.
The Dow Jones posted a gain of 36 points to 33,103 (+0.11%) while the S&P 500 posted a modest gain of 16 points to 3,975 (+0.42%). The Nasdaq is leading today’s charge for the U.S. markets, rallying 158 points to 13,204 (+1.22%).
The increase in investor optimism likely stems from March’s private sector jobs growth, with private companies adding 517,000 employees to their roster. This is the largest spike in private hiring since September 2020, which saw 817,000 private sector jobs added.
President Biden will speak today on his proposed infrastructure stimulus in Pittsburgh. Investors expect Biden to call for $2 trillion in infrastructure spending in his “Build Back Better” plan, the capital for which will be sourced from a proposed corporate income tax hike from 21% to 28%.
The 10-year Treasury bond yield fell slightly this morning, down to 1.719% after reaching a peak of 1.744% yesterday afternoon. Investors have been eyeing the treasury yield for the better part of 2021, looking for signs of increased inflation.
Cryptocurrency has remained largely neutral in today’s market, with Bitcoin falling $378 to $58,920 (-0.64%). Ethereum slid $10 in value today, down to $1832 (-0.55%) after a string of steady gains likely caused by Visa accepting cryptocurrency USD Coin for payment from Crypto.com. The payment was made so Crypto.com can use Visa’s system for its crypto debit cards, and was made on Ethereum’s block chain network.
European markets faltered slightly today, with London’s FTSE 100 posting a loss of 22 points to 6,750 (-0.33%). The DAX lost a bit of its steam from yesterday’s gain, losing 2.27 points to fall to 15,005 (-0.03%). The Stoxx 600 managed to squeak out a small gain of 0.18 points to 430 (+0.03%).
Asian markets were red across the board, with the Shanghai Composite Index (SHCOMP) posting a loss of 14 points to 3,441 (-0.43%). Hong Kong’s Hang Sang (HSI) fell nearly 200 points, down to 28,378 (-0.70%), while Japan’s Nikkei fell 253 points, resting at 29,178 (-0.78%).