Stock Market Today: Stocks Stage Big Bounce as Bulls Reemerge
The major benchmarks all posted solid gains, snapping a three-day losing streak.


It was another volatile day on Wall Street, though Tuesday's price action was to the upside as buyers emerged after three straight days of selling.
"While there has not been any change to the broader narrative there were a couple of headlines that are helping sentiment," says Michael Reinking, senior market strategist for the New York Stock Exchange.
Specifically, he pointed to reports that President Joe Biden's Build Back Better bill may not be completely dead, with Senate Majority Leader Chuck Schumer saying he will schedule a vote on the social infrastructure bill in January.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Plus, "there is some relief that President Biden's strategy to deal with the omicron surge does not include lockdowns," Reinking adds. Instead, the president's plan of attack includes distributing 500 million free at-home COVID-19 testing kits and deploying medical staff to hard-hit areas.
Meanwhile, solid quarterly reports from athletic footwear and apparel maker Nike (NKE, +6.2%) and chipmaker Micron (MU, +10.5%) created tailwinds for the broader consumer discretionary (+2.6%) and technology (+2.5%) sectors, respectively.
After posting sharp losses in Monday's session, the Dow Jones Industrial Average finished today up 1.6% at 35,492, the S&P 500 Index gained 1.8% to 4,649 and the Nasdaq Composite spiked 2.4% to end at 15,341.
Other news in the stock market today:
- The small-cap Russell 2000 surged 3.0% to end at 2,202.
- U.S. crude oil futures jumped 3.7% to finish at $71.12 per barrel.
- Gold futures gave back 0.3% to settle at $1,788.70 an ounce.
- Bitcoin rallied 3.4% to $48,608.66. (Bitcoin trades 24 hours a day; prices reported here are as of 4 p.m.)
- Rite Aid (RAD) rose 21.4% after the drugstore chain reported earnings. In its third quarter, RAD reported revenues of $6.23 billion on adjusted earnings of 15 cents per share. While Rite Aid fell short of the top-line consensus estimate of $6.32 billion, it beat on the bottom line, with analysts expecting the company to report a per-share loss of 32 cents. Additionally, RAD said it has identified 63 locations it plans to shutter in the first phase of its store closure program, which it believes will result in a roughly $25 million benefit to its annual EBITDA (earnings before interest, taxes, depreciation and amortization).
- Citrix Systems (CTXS) was another big mover today, jumping 13.6%. Today's pop came after a Bloomberg report indicated Elliott Investment Management and Vista Equity Partners are potentially mulling a joint takeover of the enterprise software firm, according to people familiar with the matter. Elliott took a stake in CTXS in the third quarter of this year.
Keep Value Stocks on Your Radar
Today's headlines were well-received, but there's still plenty of anxiety as we head into 2022.
For starters, inflation continues to hover at levels not seen in decades, eating away at profit margins for businesses. At the same time, the Federal Reserve intends to hike interest rates several times next year. These macro realities only add to the pile of risks both companies and investors face, but that hardly means all hope is lost.
"The cyclical value sectors such as energy, materials and industrials have historically done well leading up to the start of Fed rate hikes," says Jeff Buchbinder, equity strategist for LPL Financial. While every cycle is different, "we wouldn't be surprised to see value stocks make another run as the economy picks up some speed after the latest waves of COVID-19 variants fade," he adds.
For investors looking to position for higher inflation and higher interest rates, we've recently compiled a list of the top-rated value stocks heading into 2022. These are some of the most compelling plays, according to Wall Street pros, and all sport cheap valuations relative to the broader market.
Disclaimer
Karee Venema was long NKE as of this writing.
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at a local investment research firm. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
What the Senate's Vote to Repeal CFPB Bank Overdraft Fees Cap Means For You
The Senate voted to overturn the Consumer Financial Protection Bureau's cap on overdraft fees. Here's what you need to know.
By Sean Jackson Published
-
Ask the Editor: Four Reader Tax Questions
Ask the Editor In our new Ask the Editor series, Joy Taylor, The Kiplinger Tax Letter Editor, answers questions related to filing of tax returns and paying taxes.
By Joy Taylor Published
-
Stock Market Today: Markets Celebrate Trump's Tariff Détente
Consumer discretionary stocks led 10 of the 11 S&P 500 sector groups well into the green.
By David Dittman Published
-
Stock Market Today: Stocks Swing Higher After Early Slump
Negative earnings reactions for Nike, FedEx and Micron kept pressure on the main indexes, though.
By Karee Venema Published
-
Stock Market Today: Dow Gains After Nike Gets Upgraded
Jefferies thinks Nike's new CEO will spark a turnaround in the beaten-down blue chip.
By Karee Venema Published
-
Stock Market Today: Stocks Gain to Start the Short Week
Stocks struggled for direction Tuesday, though Intel made a beeline higher on M&A buzz.
By Karee Venema Published
-
Fed Leaves Rates Unchanged: What the Experts Are Saying
Federal Reserve As widely expected, the Federal Open Market Committee took a 'wait-and-see' approach toward borrowing costs.
By Dan Burrows Published
-
Stock Market Today: The Dow Adds 15 Points To End Its Losing Streak
Equity indexes opened higher but drifted lower as markets priced in new Fed forecasts.
By David Dittman Published
-
Fed Sees Fewer Rate Cuts in 2025: What the Experts Are Saying
Federal Reserve The Federal Reserve cut interest rates as expected, but the future path of borrowing costs became more opaque.
By Dan Burrows Published
-
Stock Market Today: Nasdaq Jumps Ahead of Nvidia Earnings
It was a mostly positive start to a new week of pricing in more Donald Trump.
By David Dittman Published