The broader market continued to gain throughout Wednesday's session as investors weighed more positive coronavirus vaccine developments and some unexpectedly strong corporate quarterly earnings against negative employment reports. The ADP National Employment Report released on Wednesday reported that U.S. private employers added back a net 167,000 jobs in July. This reading was dramatically lower than consensus expectations for a raise of 1.2 million jobs. However, there was some positivity in the report, for June's reading was upwardly revised to 4.314 million new additions from its previously reported 2.369 million monthly gain.
ADP's report comes only two days before the Labor Department's monthly jobs report for July. The Wednesday report is typically less accurate than Friday's upcoming report, so the U.S. jobs situation is still in limbo until the end of the week.
Moving forward, employment levels in the U.S. hinge on further stimulus from the federal government, for there is currently too much economic damage to keep the economy running smoothly without any assistance. Congress is still discussing key issues that may be extended with the new bill, like weekly federal unemployment insurance and eviction aid.
Here's how the market settled in the mid-week:
S&P 500 Index (NYSE: SPY): +0.64% or +21.24 points to 3,327.75
Dow Jones Industrial Average (NYSE: DIA): +1.39% or +372.84 points to 27,201.31
Nasdaq Composite Index (NASDAQ: QQQ): +0.52% or +57.23 points to 10,998.40
For Major Stock News, coronavirus vaccine frontrunners Johnson & Johnson (NYSE: JNJ) and Novavax (NASDAQ: NVAX) after both reporting positive new developments for their respective candidates. Disney (NYSE: DIS) shares popped up on Wednesday following a surprise quarterly profit for the entertainment company that was heavily impacted by the coronavirus pandemic. E-commerce platform Square (NYSE: SQ) also advanced after reporting stellar quarterly earnings. Teledoc Health (NYSE: TDOC) and Livongo Health (NASDAQ: LVGO) both sank on Wednesday after the two announced that they will be merging in a $18.5 billion deal.
For Stock Sector Performance, most industries advanced during Wednesday's session, with only Utilities -1.25%, Real Estate -0.64% and Consumer Staples -0.22% falling behind. The sector performance gains were as follows: Industrials +1.97%, Materials +1.53%, Financials +1.46%, Consumer Discretionary +1.40%, Energy +1.06%, Health Care +0.49%, Information Technology +0.35% and Communication Services +0.25%.
For Commodities and Currency, popular commodities posted gains on Wednesday on the back of a weakening U.S. Dollar (NYSE: UUP). The Dollar fell during trading due to U.S. yields declining due to the increasing pessimism surrounding economic recovery. Crude oil futures rose to their highest value since early March after a large decline in U.S. crude inventories was reported and the dollar was pressured by other global currencies. However, those gains were held back by mounting coronavirus infections and uncertain demand outlook. Brent Crude (NYSE: BNO) gained 1.6% to settle at $45.13 per barrel, while West Texas Intermediate (NYSE: USO) climbed higher by 1.18% to close at $42.19 per barrel. Gold (NYSE: GLD) prices smashed into a new record high on Wednesday from the weaker dollar. Spot gold was up 1% to $2,037.81 per ounce, while futures popped up 1.4% to $2,048.30 per ounce.
As the market heads into Thursday, investors will focus on the Labor Department's weekly jobless claims, as well as quarterly earnings from companies like Uber Technologies (NYSE: UBER).