US stocks close mixed as traders weigh vaccine progress against disappointing jobs data
- US stocks closed mixed on Wednesday as investors weighed COVID-19 vaccine progress against a spike in national virus cases.
- A potential vaccine being developed by Pfizer and BioNTech spurred immune responses in healthy patients, Stat News reported Wednesday.
- On the economic data front, payroll additions for June came in weaker than expected, according to ADP data.
- Read more on Business Insider.
US stocks closed mixed on Wednesday as as investors weighed COVID-19 vaccine progress against a spike in national virus cases.
A potential vaccine being developed by Pfizer and BioNTech spurred immune responses in healthy patients, Stat News reported Wednesday. Investors embraced the development, as a successful vaccine is seen accelerating the ongoing economic recovery. Shares of Pfizer surged on the news.
Meanwhile, the June ADP employment report released Wednesday showed that US companies added 2.37 million jobs during the month, less than economists expected. It also revised May's loss of 2.76 million to a 3.07 million gain.
The June nonfarm payrolls report from the government is set to be released Thursday morning at 8:30 a.m. ET.
Here's where US indexes stood at the 4 p.m. ET market close on Wednesday:
- S&P 500: 3,115.86, up 0.5%
- Dow Jones industrial average: 25,734.97, down 0.3% (78 points)
- Nasdaq composite: 10,154.63, up 1%
A gauge of US manufacturing jumped in June to the highest since April 2019, showing that some growth has returned following pandemic lockdowns earlier in the year.
Still, new coronavirus infections continue to climb, with the US adding tens of thousands of cases per day, threatening reopening efforts. California and Arizona on Wednesday saw record spikes in new COVID-19 cases.
The count of new daily cases could hit 100,000 if people continue to ignore social distancing and face mask wearing measures, Dr. Anthony Fauci said Tuesday in testimony before a Senate committee. More than 12 states have so far paused or rolled back reopening plans to control spikes in new cases.
Investors also watched the minutes of the Federal Reserve's June meeting, which showed that officials called for more detailed guidance on future policy actions from the central bank.
Shares of FedEx jumped as much as 17% after the company reported earnings with revenue that beat Wall Street's expectations after experiencing a jump in deliveries during lockdowns.
Tesla shares rose 4%, putting its market capitalization at $208 billion. It officially surpassed Toyota as the world's most valuable automaker during regular trading on Wednesday.
Oil prices climbed. West Texas Intermediate crude increased as much as 3.3%, to $40.58 per barrel. Brent crude, the international benchmark, rose 3.6%, to $42.62, at intraday highs.