US Market extends gains on stimulus hopes

The US stock market finished higher for third session in row on Tuesday, 04 August 2020, as investors risk sentiments upped on hopes for more U.S. government new coronavirus stimulus package. However, market gains capped amid strained Sino-U.S. relations over TikTok and disappointing quarterly earnings from Ralph Lauren and AIG.

At closing bell, the Dow Jones Industrial Average advanced 164.07 points, or 0.62%, at 26,828.47. The S&P 500 index added 11.90 points, or 0.36%, to 3,306.51. The tech-heavy Nasdaq Composite Index gained 38.37 points, or 0.35%, to 10,941.17.

Tuesday's moves came as lawmakers worked to make inroads on a new coronavirus stimulus package. All eyes are now on a fifth major coronavirus-aid bill, with Senate Democratic Leader Chuck Schumer saying talks with the White House were moving in the right direction.

Energy, real estate and staples were the best-performing sectors in the S&P 500, rising more than 1% each. Those gains were partially offset by declines health care and financials, the only two S&P sectors that posted declines during the session.

Ralph Lauren Corp shares slumped after quarterly revenue plunged by nearly $1 billion due to coronavirus-led store closures and a slowdown in global demand for luxury goods.

ECONOMIC NEWS: US Factory Orders Rise Substantially In June - US factory orders soared by 6.2% in June after skyrocketing by a revised 7.7% in May, a report released by the Commerce Department on Tuesday showed. The bigger than expected increase in factory orders came as orders for durable goods surged up by 7.6% in June after soaring by 15% in May. Orders for transportation equipment led the increase in durable goods orders once again, skyrocketing by 20.2% in June. The report said orders for non-durable goods also jumped by 5% in June following a 2% increase in the previous month.

Among Indian ADR, Tata Motors grew 1.21% to $7.54, Vedanta rose 2.09% to $6.35, Azure Power Global added 0.19% to $21.45, Dr Reddys Labs advanced 2.16% to $61.42, WNS Holdings added 0.02% to $62.91, Wipro rose 0.47% to $4.28, HDFC Bank added 1.2% to $46.31, and ICICI Bank rose 0.86% to $9.38, while INFOSYS declined by 2.17% to $12.64.

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