Stocks were dropping in intraday trading on Thursday, as investors rotated out of tech stocks following their red-hot rally.
Stocks came off Wednesday's solid gains, when the Dow surged more than 450 points, or 1.6%, to 29,100 for Wall Street's best day in nearly two months. The S&P 500 rose 1.5% Wednesday for its best day since July 6, and the Nasdaq jumped 0.98%. Both indexes closed at record highs.
The rally has been driven by infusions of credit from the Federal Reserve and hopes that the mad dash by drug companies to find a vaccine to end the coronavirus pandemic soon will prove fruitful.
The Centers for Disease Control and Prevention told U.S. governors to prepare for a COVID-19 vaccine to be ready by Nov. 1, an aggressive timeline that comes just days before President Donald Trump stands for re-election.
Weekly initial jobless claims in the U.S. came in slightly ahead of forecasts, with the Labor Department reported Thursday that 881,000 Americans filed for first-time jobless benefits for the week ended Aug. 22, down from a revised 1.006 million claims the week earlier. Economists polled by FactSet had been expecting claims of 965,000.
Jeff Marks, senior portfolio analyst with Action Alerts PLUS, weighed in on the markets.
And for more on the markets, take a look at Maven Mish Talk's analysis.
You can follow Katherine Ross on Twitter at @byKatherineRoss.
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