Unfazed by inflation, S&P 500 and Nasdaq up on tech gains

Reuters April 13 | Updated on April 14, 2021

FILE PHOTO: Wall Street sign   -  REUTERS

Dow off 0.21%, S&P up 0.32%, Nasdaq up 0.87%

The S&P 500 hit an intraday record high on Tuesday and the Nasdaq composite index jumped as investors flocked to tech-related stocks, and markets took the halt in Johnson & Johnson's Covid-19 vaccine rollout and strong US inflation in stride.

The drugmaker's shares fell 1.9% after hitting a one-month low, as calls for pausing the use of its COVID-19 vaccine after six women developed rare blood clots dealt a fresh setback to efforts to tackle the pandemic.

The news came as U.S. data showed the consumer price index(CPI) in March rose by the most in more than 8-1/2 years,kicking off what the majority of economists expect will be abrief period of higher inflation.

The J&J news could spark fears the broader economic rebound stemming from vaccine distribution could be derailed. Shares of cruise operators, airlines and hotel chains poised to benefit from an economic reopening fell.

Wider markets remained positive as investors returned to high-flying technology names that flourished during coronavirus-induced lockdowns last year. Apple Inc,Microsoft Corp and Inc gained between 0.8% and 2.3%.

The Dow Jones Industrial Average fell 68.13 points, or 0.20%, to 33,673.7, the S&P 500 gained 13.60 points, or 0.33%, to 4,141.59 and the Nasdaq Composite added 146.10 points, or 1.05%, to 13,996.10.

The technology sector rose 0.6%, and the utilities index was up 1.2%.

The NYSE FANG+TM Index jumped 1.6%, putting it on track for a record 12th straight session of gains.

Published on April 14, 2021

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