Technology shares, led by chipmakers, have seen major gains as investors’ sentiment lifted on strong optimism about US economic growth, along with a buoyant earnings outlook by US computer chip maker Micron.
Meanwhile, broad market index also set an all-time intraday high as the Nasdaq rose 1.74%.Seven of the eleven S&P sectors grew, with technology and communication services gaining more than 1.5%.
Also on rt.com Boom Bust explores what Biden’s $ 2 TRILLION infrastructure plan is all about
Stocks reportedly jumped after US President Joe Biden announced a massive infrastructure spending plan totaling $ 2.25 trillion. The proposal comes as the first of a two-part program to help the nation’s economy recover from the coronavirus pandemic.
The plan includes a doubling of federal funding for public transportation, $ 650 billion for clean water and high-speed broadband, more than $ 500 billion in spending on manufacturing, and $ 400 billion for improved care for the elderly and people with disabilities.
Also on rt.com Global banks bracing for losses amid US hedge fund collapse
The forthcoming report on the US jobs market, which is expected to reveal that massive fiscal stimulus and vaccination drive is helping the labor market to recover, also boosted sentiment, as investors shrug off the latest data from last week, about the rise in the number of Americans filing new claims for jobless benefits.
Micron Technology has turned up the heat after gaining 4.8% on a better-than-expected forecast for third-quarter revenues amid higher demand for memory chips.
For more stories on economy & finance visit RT’s business section