Stocks climbed for a second day on Wednesday ahead of President-elect Joe Biden’s inauguration, while a slew of strong corporate earnings boosted sentiment on Wall Street.
The Dow Jones Industrials jumped 208.36 points to 31,138.88.
The S&P 500 strengthened 45.94 points, or 1.2%, to 3,844.88, an all-time high, led by the communication services sector.
The NASDAQ leaped 233.69 points, or 1.8%, to 13,430.87, also a record, amid a pop in Netflix shares.
Netflix soared more than 13% after the company reported strong subscriber growth and said it’s considering share buybacks. Netflix handily beat estimates for global paid net subscriber additions, reporting 8.5 million versus the 6.47 million analysts anticipated. The company also said it expects to break even on a cash flow basis this year.
Shares of streaming-competitor Disney jumped more than 2% following Netflix’s strong subscriber numbers.
Morgan Stanley gained as much as 2% after earnings and revenue topped estimates on solid trading and wealth management results. Shares last traded flat.
Procter & Gamble raised its forecast and said revenue last quarter jumped on higher pandemic demand for cleaning products. The stock dipped 1%, however.
Biden was inaugurated to succeed President Donald Trump as the 46th president of the United States. His inauguration speech focused on the need to bring the country together on the heels of a riot on Capitol Hill and amid extreme partisanship in Congress.
Investors will also be on the lookout for any further information about Biden’s $1.9-trillion COVID-19 relief plan unveiled last week. On Tuesday, Janet Yellen, Biden’s designated nominee for Treasury Secretary, endorsed higher aid spending and urged lawmakers to “act big.”
Biden’s stimulus proposal calls for direct payments of $1,400 to most Americans and additional unemployment benefits as well as state and local government aid. He also announced a sweeping plan to combat the pandemic in the U.S., which includes a nationwide vaccine campaign.
The U.S. fell far short of its goal of vaccinating 20 million people by the end of last year. While the Trump administration’s Operation Warp Speed has delivered over 31.1 million doses across the country, only 12.3 million people have been inoculated.
Prices for the 10-Year Treasury slipped, raising yields to 1.10% from Tuesday’s 1.09%. Treasury prices and yields move in opposite directions.
Oil prices gained 39 cents to $53.37 U.S. a barrel.
Gold prices gained $27.40 to $1,867.50 U.S. an ounce.