The U.S. stock market climbed Tuesday as oil prices fell, pushing gains higher on airlines stocks and sending oil stocks lower.
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The Nasdaq composite bounced 2.3%. The S&P 500 regained 1.7%. The Dow Jones Industrial Average rose 1.3%.
The small-cap Russell 2000 climbed 0.9%. Travel stocks climbed, including American Airlines (AAL), up 10%; United Airlines (UAL), up 9.4%; hotel operator Marriott International (MAR), up 2.6%; and travel booking stock Expedia (EXPE), up 5.8%.
U.S. Stock Market Today Overview |
||||
|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 33377.94 | +432.70 | +1.31 |
| S&P 500 | (0S&P5) | 4244.20 | +71.09 | +1.70 |
| Nasdaq | (0NDQC ) | 12869.05 | +287.83 | +2.29 |
| Russell 2000 | (IWM) | 194.40 | +1.69 | +0.88 |
| IBD 50 | (FFTY) | 36.08 | +0.09 | +0.25 |
| Last Update: 11:54 AM ET 3/15/2022 | ||||
Volume fell on the NYSE and Nasdaq compared with the same time on Monday.
Wholesale Inflation Rises But Slightly Below Forecasts
All eyes were on the Federal Reserve’s two-day meeting, which kicked off today. Expectations call for the central bank to raise interest rates by a quarter percentage point, which would be the first increase since 2018. The Fed decision will be announced at 2 p.m. ET on Wednesday.
In other economic news, wholesale inflation climbed 10% in February from a year ago and 0.8% from the previous month, the Bureau of Labor Statistics reported. February’s producer price index moderated from a revised 1.2% increase for January.
The year-over-year increase matched the consensus Econoday forecast, while the monthly increase from January was a bit less than the 1% economists expected. Excluding food and energy items, wholesale prices rose 8.4% from a year ago and 0.7% from January. Both were slightly above economist forecasts.
Russia stepped up its bombing of Kyiv, as talks to resolve the crisis continued.
Meanwhile, the price of U.S. crude oil tumbled 8% to $94.80 a barrel. Oil has plunged 28% from the high above $130 on March 7, even as the U.S. banned imports of Russian oil. Energy Select Sector SPDR (XLE) fell 3.7%.
As travelers got ready to return to the skies, the lower price of energy was welcome news to airline stocks, but not so for oil stocks.
Oil Stocks Fall On Lower Oil Prices
Both Chevron (CVX) and Exxon Mobil (XOM) fell more than 5%.
Among major movers, Coupa Software (COUP) plummeted 19% to the lowest since January 2019 at session lows. The cloud software company’s January-quarter earnings report and management’s guidance for the current fiscal year disappointed investors.
Amazon.com (AMZN) stock jumped 3.8%.
Innovator IBD 50 ETF (FFTY) fell 0.8% as many of the natural resource stocks that had been leading were down broadly.
Steelmaker Cleveland-Cliffs (CLF) fell below its 24.77 buy point from a double bottom. Callon Petroleum (CPE) fell below its 50-day moving average. Mining company Vale (VALE) is now almost 7% below its 18.25 buy point.
Health care was one of the morning’s best performing sectors, with Health Care Select Sector SPDR up more than 1%. Pharmaceuticals led the IBD 50, as Regeneron (REGN) continued its climb, up 1.4% Tuesday at midday. Regeneron is getting closer to the 673.96 buy point of a cup base.
Follow Michael Molinski on Twitter @IMmolinski
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The post Stocks Climb As Oil Prices Fall; Travel Stocks Gain, But Oil Stocks Fall appeared first on Investor’s Business Daily.
