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Key Takeaways
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Stocks surged at midday Tuesday, with the Dow Jones Industrial Average jumping nearly 1,000 points, as the major indexes rebounded somewhat from tariff-induced losses.
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Shares of health insurance operators surged after the federal government said it would pay a higher rate to Medicare insurers than previously estimated.
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Chip stocks also rose following a rout sparked by President Donald Trump's sweeping tariffs and China's retaliatory measures.
Stocks surged at midday Tuesday, with the Dow Jones Industrial Average jumping nearly 1,000 points, as the major indexes rebounded somewhat from tariff-induced losses. The Dow, S&P 500, and Nasdaq were all up close to 2%.
Shares of health insurance operators surged after the federal government said it would pay a higher rate to Medicare insurers than previously estimated. Humana (HUM), UnitedHealth Group (UNH), and Aetna owner CVS Health (CVS) were among the top gainers in the S&P 500.
Also among the top S&P gainers were cruise operators Carnival Corp. (CCL) and Norwegian Cruise Line Holdings (NCLH), whose shares had declined sharply in recent days amid worries about tariffs and rising recession risks.
Chip stocks also rose following a rout sparked by President Donald Trump's sweeping tariffs and China's retaliatory measures. Shares of Nvidia (NVDA), Broadcom (AVGO), Intel (INTC), Micron Technology (MU), Lam Research (LRCX), and Applied Materials (AMAT) were all higher.
RPM International (RPM) shares fell as the DayGlo and Rust-Oleum parent missed quarterly estimates, which its CEO attributed in part to bad weather.
Lululemon Athletica (LULU) shares resumed their decline since CEO Calvin McDonald recently said, "Consumers are spending less due to increased concerns about inflation and the economy" during the retailer's earnings call in late March. The stock has lost about one-quarter of its value since the firm's fourth-quarter report, not helped by President Trump's announced tariffs on Vietnam, which produces much of Lululemon's products.
Enphase Energy (ENPH) shares fell as the microinverter-based solar and battery systems provider announced a new battery for customers in Luxembourg. The stock has lost more than half its value over the past year.
Oil and gold futures rose. The yield on the 10-year Treasury note edged higher. The U.S. dollar fell against the euro, pound, and yen. Prices for most major cryptocurrencies were mixed, with the price of Bitcoin down slightly at just over $77,900.
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