Wall St gains with tech shares; regional banks fall By Reuters

Wall Street closed higher on Tuesday, with technology shares leading the way, while regional banks fell as investors weighed the impact of the coronavirus pandemic on the economy.

The Dow Jones Industrial Average rose 0.7%, the S&P 500 gained 0.9% and the Nasdaq Composite added 1.3%.

Technology stocks, which have been the biggest beneficiaries of the pandemic-induced shift to remote work and online shopping, were the biggest gainers. Apple Inc, Microsoft Corp and Inc all rose more than 1%.

The S&P 500 technology sector rose 1.7%, its biggest one-day gain since July.

However, regional banks were the biggest laggards, with the S&P 500 regional banking index falling 1.3%. Investors are concerned that the economic fallout from the pandemic could hurt the sector’s profits.

The market was also supported by news that the U.S. government is close to a deal on a new coronavirus relief package.

“The market is looking for any kind of good news,” said Peter Cardillo, chief market economist at Spartan Capital Securities in New York. “The market is looking for a stimulus package and that’s what’s driving the market higher.”

The market was also boosted by a report that the U.S. economy grew at a record 33.1% annualized rate in the third quarter.

In other news, the U.S. Treasury Department said it will sell $38 billion in 10-year notes on Wednesday.

The yield on the benchmark 10-year Treasury note was little changed at 0.837%.