Wall St rises as jobless claims decline; Cigna weighs on the values ​​of health

Aug 5 (Reuters) – U.S. stock indexes rose on Thursday after data showed fewer Americans filed for unemployment benefits last week, while health insurer shares fell Cigna drove health stocks down.

Initial claims for state unemployment benefits fell from 14,000 to 385,000 in the week ending July 31, while layoffs fell to their lowest level in more than 21 years last month while companies kept their workers due to a labor shortage, according to the report from the Ministry of Labor. Read more

“Investors appreciate the fact that the United States is unlikely to enter a further shutdown and with economic growth at full speed and interest rates this low, interest in equities appears to be intact,” he said. said Arthur Weise, chief investment officer of Kingsland Growth Advisors.

Attention will now turn to the July jobs report on Friday. Analysts believe that a disappointing number could raise questions about an economic recovery, but could also cause the Federal Reserve to remain dovish.

Meanwhile, Robinhood Markets Inc (HOOD.O) plunged 13.2% and was about to start a four-day rally fueled by interest from retail traders. Read more

“I think Robinhood is the latest stock that the Reddit crowd has embraced, but the question remains how long is that going to last,” Weise said.

Ten of the top 11 sector indices in the S&P 500 were higher in early afternoon, with only healthcare stocks (.SPXHC) in the red as Cigna Corp (CI.N) fell 12.4% after predicting a greater impact on the annual profits of the pandemic. Read more

ViacomCBS Inc (VIAC.O) jumped 6.5% as the company said it signed the most new streaming subscribers in the second quarter and reached a multi-year deal with Comcast Corp (CMCSA.O) Sky for launch Paramount streaming + service in Europe. Read more

As of 11:54 a.m. ET, the Dow Jones Industrial Average (.DJI) was up 205.61 points, or 0.59%, to 34,998.28, the S&P 500 (.SPX) was up 18.85 points, or 0.43%, to 4,421.51 and the Nasdaq Composite (.IXIC) is up 92.02 points, or 0.62%, to 14,872.55.

Concerns about the pace of economic growth and rising inflation have put pressure on the S&P 500 Index, but strong corporate earnings so far have put it on track to end the week higher . The index is now flirting with a higher closing record.

Fed Vice Chairman Richard Clarida, one of the main architects of the central bank’s new policy strategy, said on Wednesday that he believes the conditions for an interest rate hike could be met. ‘by the end of 2022. read more

Rising issues outnumbered declines by a 2.37-to-1 ratio on the NYSE and by a 2.17-to-1 ratio on the Nasdaq.

The S&P Index recorded 43 new 52-week highs and four new lows, while the Nasdaq recorded 92 new highs and 81 new lows.

Reporting by Shreyashi Sanyal and Shashank Nayar in Bengaluru; Editing by Aditya Soni and Maju Samuel

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