“Clearly markets are bouncing on that optimism.”
Even so, spiralling COVID-19 infection rates turned investors toward market-leading growth stocks that have shown resiliency to the pandemic.
The Philadelphia SE Semiconductor index, which thrived throughout the health crisis, handily outperformed the broader market, rising 1.6 per cent.
“In a COVID world, semis are a safer play as they’re not impacted as much due to shutdowns,” Detrick added.
The number of US workers filing new claims for unemployment benefits unexpectedly rose last week, the data painting a grim picture of increasingly elevated layoffs as spiking coronavirus cases and subsequent shutdowns continue to hobble the labour market.
Record infection numbers have caused COVID hospitalizations to soar by 50 per cent and have prompted schools and businesses to close once again, thwarting the recovery of the world’s largest economy from the deepest recession since the Great Depression.
The Dow Jones Industrial Average rose 44.81 points, or 0.15 per cent, to 29,483.23, the S&P 500 gained 14.08 points, or 0.39 per cent, to 3,581.87 and the Nasdaq Composite added 103.11 points, or 0.87 per cent, to 11,904.71.