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US stocks rise as COVID-19 vaccine progress offsets disappointing jobs data

Carmen Reinicke   

US stocks rise as COVID-19 vaccine progress offsets disappointing jobs data

US stocks rose Wednesday as positive coronavirus vaccine news offset disappointing jobs data.

A potential COVID-19 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.

Here's where US indexes stood at 1:30 p.m. ET on Wednesday:

Read more: Stock analysts are having a moment in the sun as the market gets flipped upside down. We spoke to 11 of the top-ranked on Wall Street to get their forecasts and single-stock picks.

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. 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.

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 $206 billion, officially surpassing Toyota as the most valuable automaker in the world.

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.

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