Why the Dow Soared Today
It turned out to be an incredible day for the markets today, with the Dow Jones Industrial Average (INDEX: ^DJI) , rising over 2%, and the Nasdaq gaining 3%. Not surprisingly, positive news out of Europe was the main catalyst for today's big jump. European leaders agreed to let its rescue fund directly give to troubled banks, which will help the countries avoid increasing their budget deficits. That's good news for investors, especially considering the low expectations from the summit.
Here's how the three major U.S. indexes reacted to the news today.
|Dow Jones Industrial Average||277.83 [2.20%]||12,880.09|
|S&P 500 (INDEX: ^GSPC)||33.12 [2.49%]||1,362.16|
Bank of America (NYS: BAC) was the Dow's biggest gainer on the day, up 5.7%, while fellow mega bank JPMorgan Chase (NYS: JPM) was the biggest loser, and the only Dow stock in the red on the day. That's strange, as these stocks usually move in tandem, but more bad news about JPMorgan's trading loss drove shares down. There were two other iconic American companies, Ford (NYS: F) and Nike, that struggled big time today, despite the huge rally for the market. Check out the video below for more on what moved the markets, and what individual stocks were the biggest movers in both directions.
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The article Why the Dow Soared Today originally appeared on Fool.com.Brendan Byrnes owns shares of Ford. The Motley Fool owns shares of JP Morgan Chase, Ford Motor, and Bank of America Corporation Com.Motley Fool newsletter serviceshave recommended buying shares of Nike and Ford Motor.Motley Fool newsletter serviceshave recommended creating a synthetic long position in Ford Motor.Motley Fool newsletter serviceshave recommended creating a diagonal call position in Nike. The Motley Fool has adisclosure policy.