Stock Market Today: Stocks Land a Win on Turnaround Tuesday
Stocks shook off a surprise move by the Bank of Japan to end higher today.


Stocks looked poised to extend their daily losing streak Tuesday, trading lower near the open after a surprise move by the Bank of Japan (BoJ). However, they moved higher by mid-morning as bargain hunters swooped in. Following four days in which the major market indexes notched losses ranging from 4% to more than 6%, they finally managed a win today.
It wasn't an easy win, though. Stocks initially reacted negatively after the Bank of Japan said it will let the yield on its 10-year government bond reach 0.5% – double the previous cap of 0.25%. Although the central bank left its short-term rate at negative 0.1%, today's move left many wondering if the BoJ, known for its ultra-loose monetary policy, could be ready to follow in the footsteps of its global counterparts and begin to hike interest rates in order to combat inflation.
"There has been quite a bit of speculation building that the BoJ would be forced to ease off its ultra-accommodative policy stance with most believing this would occur after the end of Governor Kuroda's term in March," says Michael Reinking, senior market strategist at the New York Stock Exchange. "This was a modest step in that direction, but the biggest surprise was really the timing."

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.
Back at home, the Commerce Department said this morning that construction on new homes slipped just 0.5% in November to 1.43 million homes. On the other hand, building permits for new homes plummeted 11.2% to 1.34 million.
"With historically low home affordability driven by real estate price increases and higher mortgage rates, many Americans have been priced out of homeownership and builders have responded by cutting construction and slowing permitting requests for new projects," says José Torres, senior economist at Interactive Brokers. "Builders are also hard pressed to acquire financing with banks tightening their loan standards and seeking to protect themselves from a potential recession."
The major indexes finished the day higher, with the Dow Jones Industrial Average adding 0.3% to 32,849, the S&P 500 Index rising 0.1% to 3,821, and the Nasdaq Composite eking out a marginal gain to 10,547.
Stay Active and Nimble in 2023
Investors will need to stay active and nimble in 2023, with a focus on fundamentals, says Tony DeSpirito, chief investment officer at BlackRock's U.S. Fundamental Active Equities. "Stocks look set to continue their stutter-step motion into 2023 after a downbeat and extremely volatile 2022," DeSpirito writes in his Q1 2023 equity outlook. But there is hope for investors, and the speedbumps we've seen over the past 12 months – and will likely see moving forward – are "not uncommon on the path to solid longer-term returns," he adds.
The key to success is being opportunistic as well as defensive, with a focus on quality characteristics and positions, DeSpirito says. One way to do this is with the best dividend stocks, such as the Dividend Kings, which have raised their annual payouts for at least 50 years straight. There are also plenty of high-yield options at investors' disposal. For those looking for a diversified approach to income investing, these are the nine best high-yield ETFs, boasting yields at least double that of the S&P 500.
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.
-
The $33,000 Retirement: One Man's Surprising Path to Financial Freedom at 61
Forget what society tells you, even with less than $1 million, you can be happy in retirement.
-
The Best Aerospace and Defense ETFs to Buy
The best aerospace and defense ETFs can help investors capitalize on higher government defense spending or hedge against the potential of a large-scale conflict.
-
Stock Market Today: It's 'Most Sectors Go' Ahead of Independence Day
The resilience trade continues to work, even for sectors and stocks with specific uncertainties.
-
Stock Market Today: S&P 500, Nasdaq Hit New Highs After Vietnam Trade Deal
Ahead of a key July 9 tariff deadline, President Trump said the U.S. has reached a trade deal with Vietnam.
-
Stock Market Today: Another Quarter, More Mixed Price Action
"Up and to the right" remains the general trend despite persistent uncertainty around critical policy issues.
-
Stock Market Today: A Historic Quarter Closes on High Notes
"All's well that ends well" is one way to describe the second quarter of 2025, at least from a pure price-action perspective.
-
Stock Market Today: Stocks Swing as Trump Scraps Canada Trade Talks
Despite a mid-afternoon slip, the S&P 500 and Nasdaq ended the day at new record highs.
-
Stock Market Today: S&P 500, Nasdaq Near New Highs
The S&P 500 hasn't hit a new high since February. It's been since December for the Nasdaq.
-
Stock Market Today: Stocks Struggle to Sustain Gains
Mixed messages from multiple sources continue to make for a messy market for investors, traders and speculators.
-
Stock Market Today: Stocks Soar on Israel-Iran Ceasefire
It was a rocky start to the truce, but a temporary halt to fighting between Israel and Iran appears to be holding for now.