The technology sector, which fell just under 1%, bounced back and brought the broader indexes with it. While investors will anxiously watch inflation data due out on Wednesday, Cruz notes that they are already prepared for a high number with consensus forecasts for a 7% increase on a year-on-year basis for the headline Consumer Price Index.
A poll of economists by Reuters found that core CPI, which excludes those items, is seen rising by 5.4%. Preliminary data showed the S&P 500 gained 42.58 points, or 0.93%, to end at 4,713.61 points while the Nasdaq Composite gained 208.85 points or 1.41%
The S&P ended its five-day slump with a gain, while the Nasdaq added to Monday’s slight increase, when it started the week by making a comeback in the afternoon that analysts said was due to an influx of retail investors looking for bargains after an early sell-off. Another issue on investor watchlists this week is the unofficial start of the fourth-quarter earnings season on Friday, with big banks expected to show an uptick in quarterly core revenue thanks to new lending and firmer Treasury yields.
On Monday, Moderna’s stock price increased by more than 9%. However, the company’s shares declined on Tuesday. BioNTech, which is Pfizer’s vaccine partner, was also losing ground on that day.