U.S. stocks rose on Tuesday as investors assessed steps taken by China to ease its tough COVID-19 restrictions.
The country has said it will halve the time in isolation required by new arrivals to its country, a sign that China is serious about reviving the growth of its economy. Additionally, Shanghai and Beijing reported no new infections, an encouraging sign that supply chain bottlenecks should continue to ease.
“The COVID crisis appears to be receding quickly in China, with no major cities under widespread lockdown and a rapid decline in reported cases,” said Susannah Streeter, market analyst at Hargreaves Lansdown.
Here’s where the U.S. indices were shortly after the 9:30 a.m. ET open on Tuesday:
The concerns of the United States entering a
continue to be a priority for investors this week. Ark Invest’s Cathie Wood told CNBC on Tuesday that she believes the United States is currently in a recession, implying the idea that second-quarter GDP growth will be negative.
Meanwhile, New York Fed President John Williams told CNBC that a U.S. recession is not his base case and the country could avoid a period of declining economic growth even in the face of downturns. higher interest rates.
But rising interest rates are having a big impact on the housing market as mortgage rates hit the 6% threshold, causing sales to slow. Home price increases slowed in April, according to data from S&P Case-Shiller.
Robinhood shares saw volatile trading Tuesday morning after Sam Bankman-Fried said FTX was not in active talks to acquire the brokerage. Robinhood jumped 22% on Monday following a Bloomberg report on a potential merger between the two companies.
Warren Buffett continues to view Occidental Petroleum as an attractive investment, with SEC filings showing that Berkshire Hathaway has added another $44 million to its more than $9 billion stake in the oil and gas explorer.
West Texas Intermediate crude oil rose 1.12% to $110.80 a barrel. Brent, the international oil benchmark, jumped 1.29% to $116.58.
Bitcoin rose 1.32% to $20,991. Ether prices jumped 3.79% to $1,225.
Gold rose 0.09% to $1,826.50 an ounce. The 10-year Treasury yield remained stable at 3.22%.