Stocks have shown a notable turnaround over the course of the trading session on Tuesday after an initial move to the downside. With the rebound on the day, the Dow and the S&P 500 have climbed to new record intraday highs.
Currently, the major averages are just off their highs of the session. The Dow is up 45.62 points or 0.2 percent at 22,164.04, the Nasdaq is up 27.41 points or 0.4 percent at 6,411.18 and the S&P 500 is up 7.36 points or 0.3 percent at 2,488.27.
The initial weakness on Wall Street was partly due to profit taking after the Dow climbed to a new record closing high for the ninth consecutive session on Monday.
Selling pressure waned shortly after the open, however, and recent upward momentum helped to lift the major averages into positive territory.
The recovery by the major averages has partly been attributed to an advance by shares of tech giant Apple (AAPL). Apple is currently up by 1.7 percent after reaching a record high.
The rebound may also have been partly due to a report from the Labor Department showing an unexpected jump in job openings in the month of June.
The Labor Department said surged up to a record 6.2 million on the last business of June from 5.7 million on the last business day of May. Economists had expected job openings to drop to 5.6 million.
Nonetheless, traders seem reluctant to make more significant moves ahead of the release of reports on labor productivity and costs and producer and consumer price inflation in the coming days.
Remarks by Federal Reserve officials may also attract attention later this week, as traders look for clues about the outlook for monetary policy.
In a speech on Monday, St. Louis Fed President James Bullard said the current level of interest rates is likely to remain appropriate over the near term amid subdued inflation.
Banking stocks have shown a strong move to the upside on the day, driving the Dow Jones Banks Index up by 1.3 percent. The index is on pace to end the session at a five-month closing high.
Fifth Third Bancorp (FITB), Capital One (COF), and SVB Financial Group (SIVB) are turning in some of the banking sector’s best performances.
Significant strength has also emerged among railroad stocks, as reflected by the 1.2 percent advance by the Dow Jones Railroads Index. FreightCar America (RAIL) is leading the sector higher.
Computer hardware stocks are also seeing notable strength in mid-day trading, while most of the other major sectors are showing only modest moves.