Stocks traded mostly higher on Tuesday, with the Nasdaq outperforming and the S&P 500 notching a new record closing high, after a March inflation report was close to expectations but a halt in the use of the Johnson & Johnson (JNJ ) COVID vaccine harmed reopening optimism. The Dow ended the session in the red, but had mostly recovered losses from a more than 150 point dropped earlier in the session.
The U.S. Food and Drug Administration on Tuesday recommended a pause in the use of Johnson & Johnson's vaccine following reports of a rare and severe type of blood clot developing soon after dosing. The halt will last until the U.S. Centers of Disease Control and Prevention concludes its investigation.
Meanwhile, the consumer price index rose 0.6% month-over-month in March and increase 2.6% year-to-year. Economists had expects a rise by 0.5% for the month and 2.5% for the year. Core CPI, which excludes volatile food and energy costs, increased 0.3% monthly and 1.6% year over year.
Here's how the market settled on Tuesday:
S&P 500 Index (SPY ): +0.33% or +13.60 points to 4,141.59
Dow Jones Industrial Average (DIA ): -0.20% or -68.13 points to 33,677.27
Nasdaq Composite Index (QQQ ): +1.05% or +146.10 points to 13,996.10
For Stocks, reopening names like American Airlines (AAL ), Carnival (CCL ) and United Airlines (UAL ) declined following the halt in Johnson & Johnson vaccinations.
For Sector Performance, sectors ended the session mostly higher with Utilities (XLU ) and Consumer Discretionary (XLY ) leading highs. Materials (XLB ), Industrials (XLI ), Consumer Staples (XLP ) and Financials (XLF ) were the only sectors to close in negative territory.
For Commodities and Currency, the U.S. Dollar (UUP ) fell to three-week lows on Tuesday after fresh U.S. economic data showed strong inflation gains in March. The dollar index, which tracks the greenback against six other global currencies, slipped as low as 91.90. Gold (GLD ) prices rebounded from recent lows and rose as traders used the yellow metal as an inflation hedge. Spot gold increased 0.8% to $1,745.94 per ounce, while U.S. gold futures settled 0.9% higher at $1,747.60 per ounce. Crude oil prices climbed higher on Tuesday on strong Chinese import data, but gains were held back by concerns with the Johnson & Johnson COVID vaccine. International benchmark Brent Crude (BNO ) was up 1% at $63.91 per barrel, while domestic index West Texas Intermediate (USO ) climbed to $60.18 each.
For Wednesday, all eyes will be on Coinbase's direct listing, as well as the Federal Reserve's Beige Book and a speech from Fed Chair Jerome Powell. The earnings season also kicks off on Wednesday, with reports expected by JP Morgan Chase (JPM ), Wells Fargo (WFC ) and Goldman Sachs (GS ).