STOCKS-US Financials, Energy Pushes Wall Street Upward in Volatile Trading

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* Disney slips when theme parks reopen

* Boeing slows after Berenberg downgrade

* Indices above: Dow 0.20%, S&P 0.18%, Nasdaq 0.30% (Updates in the early afternoon)

By Medha Singh and Devik Jain

June 25 (Reuters) – Major Wall Street indices rose on choppy trading on Thursday as gains in financial and energy stocks helped rebound early losses due to an alarming rise in new coronavirus cases and soaring highs. unemployment claims.

The S&P 500 sub-index of banks rose 2.4% as US banking regulators unveiled a couple of rules that will make life easier for big banks with complex investment and trading portfolios.

However, broader market sentiment remained negative as the number of new cases in the US states, especially in the west and south, continued to rise even as coronavirus hospitalizations in New York declined. York.

Texas Governor Greg Abbott said he was halting his state’s gradual economic reopening in response to a jump in COVID-19 infections and hospitalizations.

The outbreak in the cases has threatened to stop a Wall Street rally fueled by a series of global stimuli since late March.

After reaching 5% of its all-time high in early June, the benchmark S&P 500 index has lost nearly 6% in the past two weeks, and analysts warned further declines amid worsening economic forecasts.

“It appears that the market may have entered a new stage of need for direction. It does not appear that concerns about the resurgence of a virus are sufficient to really begin to form a downward stretch of a W-shaped recovery,” said JJ Kinahan . chief market strategist at TD Ameritrade in Chicago.

All three major indexes opened lower as data showed that the number of Americans filing claims for unemployment benefits fell less than expected last week, likely because hiring for the reopening of companies is offset partly due to a second wave of layoffs.

At 12:58 pm ET, the Dow Jones Industrial Average rose 51.48 points, or 0.20%, to 25,497.42, the S&P 500 rose 5.43 points, or 0.18%, to 3,055.76. The Nasdaq Composite rose 29.98 points, or 0.30%, to 9,939.14.

Wall Street’s fear indicator, the CBOE volatility index, was trading unchanged after rising earlier in the session.

The energy subsector gained around 0.9%, as oil prices recovered.

Walt Disney Co fell 1.9% after it delayed the reopening of theme parks due to the health crisis. A report also said the company was considering postponing the July 24 release of “Mulan.”

Boeing Co fell 2.4% when rival Airbus hit a crucial aircraft production target and smoothed out recent industrial problems.

The Federal Reserve will release the results of the stress tests of lenders after the markets close.

Forward issues outperformed declines 1.05 to 1 on the NYSE and 1.34 to 1 on the Nasdaq.

The S&P Index recorded four new 52-week highs and no new lows, while the Nasdaq recorded 53 new highs and eight new lows. (Report by Medha Singh and Devik Jain in Bangalore; Sriraj Kalluvila and Arun Koyyur edition)