Nasdaq rises as US bond yields retreat

·1-min read

The Nasdaq climbed early Friday, recovering some of the prior session's losses, as US Treasury yields retreated and markets anticipated progress in Congress on President Biden's economic relief package.

About 25 minutes into trading, the tech-rich Nasdaq Composite Index jumped 0.6 percent to 13,193.01, after sinking 3.5 percent on Thursday.

The Dow Jones Industrial Average dipped 0.4 percent to 31,285.02, while the broad-based S&P 500 added 0.2 percent at 3,834.90.

Tech shares were hammered Thursday, part of a rout spurred by worries over rising US bond yields that investors fear hearken inflation and Federal Reserve interest rate hikes.

But bond yields declined Friday, even as government data showed a jump in US personal income last month following a government stimulus enacted in December.

The House of Representatives was expected to vote later on Biden's $1.9 trillion rescue package to provide additional relief to the coronavirus-ravaged economy.

Investors also have been cheered by regulatory progress on Johnson & Johnson's single-dose coronavirus vaccine, which could be approved for emergency use later Friday.

Among individual companies, Beyond Meat gained 3.1 percent after sealing partnerships with fast-food giants McDonald's and Yum! Brands, which owns Taco Bell and Pizza Hut among other chains.

Twitter gained 3.8 percent, moving to an all-time high, as it announced plans to offer a subscription service in which users would pay for special content from high-profile accounts, part of an economic model to diversify its revenue.

AT&T fell 0.3 percent as it announced it would spin off DirecTV and other assets into a company that will be jointly owned with private equity firm TPG.