Stocks were mostly higher Wednesday as Wall Street keyed on expectations that the incoming administration of Joe Biden will boost government spending and monitored a vote in Washington on the impeachment of President Trump.
Biden is expected to unveil his economic plan Thursday. The president-elect has promised further economic stimulus “in the trillions of dollars.”
The Dow Jones Industrial Average fell 13 points, or 0.04%, to 31,055, the S&P 500 rose 0.19% and the Nasdaq was up 0.6%.
Intel traded higher after the chipmaker announced CEO Bob Swan will step down in February, with VMware CEO Pat Gelsinger taking his place.
Equities were getting a lift from comments from two Federal Reserve officials who said it was premature to think about tapering bond purchases later this year while the economy was still struggling through the coronavirus pandemic. Taper talk has increased lately in tandem with discussions of more relief spending.
Treasury yields declined Wednesday following the comments from the central bank officials.
The benchmark yield on the 10-year Treasury bond traded at 1.126% on Wednesday, down from a 10-month high of 1.187%.
Inflation data released Wednesday, meanwhile, showed only a 0.4% uptick in consumer prices during December. Prices are expected to rise as the economy gets back on track, according to economists.
Wall Street was keeping a wary eye on developments in Washington, where the House of Representatives was preparing Wednesday to vote on the possible second impeachment of Trump following last week’s attack on the Capitol by the president’s supporters.
House lawmakers will vote to impeach Trump later Wednesday, using both their Democratic majority and the support of several Republicans. The vote would make Trump the first president in U.S. history to be impeached twice, while setting up what could be an equally historic vote in the Senate that could remove him from office.
Vice President Mike Pence rejected a call to invoke the 25th Amendment, saying in a letter to House Speaker Nancy Pelosi that it would “set a terrible precedent.”
Shares of General Motors rose Wednesday after Nomura Securities upgraded the carmaker to buy from neutral and nearly tripled its one-year price target following the company’s debut of future electric vehicles and flying cars.
This article was originally published by TheStreet.