The Dow, S&P 500, and Nasdaq all rose on Aug. 19, ending a three-day losing streak as bond market pressure eased. Moderna's cancer-vaccine trial data and a stronger-than-expected Target earnings report helped offset news that U.S. national debt topped $40 trillion.
The Dow Jones Industrial Average rose 0.22% to 53,463. The S&P 500 gained 0.21% to 7,708. The Nasdaq Composite edged 0.16% higher to 26,331 as the major indexes halted a three-day slide following an easing of bond market pressure.
Moderna's trial data drives the biggest move
Moderna shares soared 177% after the company and Merck announced positive late-stage trial results for a personalized mRNA cancer vaccine paired with Merck's Keytruda melanoma treatment, as the market prices in the potential for the therapy to work in other cancer trials. Merck's own shares also rose 13% on the news.
Elsewhere in the session, Sandisk fell 9% amid broader chip sector weakness. Viking Holdings dropped 4% after warning that low river levels in Europe could disrupt its cruise operations.
Target's earnings beat adds support
Target reported better-than-expected second-quarter earnings, with sales up 5.3% and same-store sales rising 3.8%. The retailer said most business segments delivered growth, outside of apparel and home furnishings and decor.
Fed minutes showed support for a potential interest rate increase if inflation doesn't cool, so the positive retail data is good news for the broader market to see. Still, the gains came the same day the U.S. national debt surpassed $40 trillion.
Source: The Motley Fool
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