U.S. Indices Surged On Encouraging News

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The major U.S. indices ended trading in positive territory on Tuesday, November 24, with the Dow Jones closing above 30,000 points for the first time in history, and the S&P 500 setting a new milestone.

Investors were encouraged by the expectations regarding the start of the transition of presidential power in the country, as well as the comments made this week by the British pharmaceutical company AstraZeneca, which announced the good results of the interim trials of the vaccine it is developing.

Joe Biden has been told by Office of the General Services Administration (GSA) that it is ready to begin the transition of power process as Donald Trump has made it clear that he is ready to cooperate. Investors have been pleased by such news because it removes the risk of political instability in the world.

The news that Biden plans to appoint former fed chair Janet Yellen for the post of Treasury Secretary brought U.S. additional hope.

The consumer confidence index measured by the Conference Board, decreased to 96.1 points in November, while analysts expected 98.0 points, and the Richmond Federal Reserve industry business activity index, was 15 points in November compared to 29 points a month earlier.

The blue-chip Dow Jones Industrial Average rose 1.54 percent to 30,046 at the end of the day. The S&P 500 broad-based index rose 1.62 percent to 3,635 points, and the high-tech NASDAQ index gained 1.36 percent to close at 12,036 points.

At the end of trading on the NYMEX, the price of light crude oil futures for January delivery rose $1.85 to $44.91 per barrel. The gold futures price for January delivery dropped by $33.40 to $1804.60 per troy ounce at the end of trading on COMEX. In exchange, the yield on 10-year Treasury bonds was 0.88 percent.

Chevron, JPMorgan Chase & Co., Goldman Sachs Group, Walt Disney, and American Express all posted the best results in the blue-chip index with rises of 5.04%, 4.62%, 3.79%, 3.77 percent and 3.70 percent respectively.

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