S&P, Nasdaq open at records as Dow climbs further into positive territory for 2020

Disconnect between Main Street and Wall Street will impact stocks: Expert

Potomac Wealth Advisers President Mark Avallone discusses his outlook for the markets.

Stocks opened to record highs on Wednesday as the major averages look to keep the momentum going after a strong start to September.

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The Dow Jones Industrial Average gained 122 points, or 0.43%, in the opening minutes of trading, after climbing into positive territory for the year on Tuesday.

Meanwhile, the S&P 500 and the Nasdaq Composite were higher by 0.4% and 0.8%, respectively, adding to their record closes from the previous session. The S&P 500 has booked 21 record-high closes this year while the Nasdaq has finished at an all-time high 42 times.

Looking at the economy, the ADP employment report showed private payrolls grew by 428,000 workers in August, missing the 950,000 that analysts surveyed by Refinitiv were expecting. The Labor Department will release the August jobs report ahead of Friday’s opening bell.

Looking at stocks, Macy’s Inc. lost $431 million in the three months through June amid a faster-than-expected recovery of in-store sales and continued strength from its e-e-commerce business. The department store chain posted a $3.58 billion loss during the previous quarter.

AMC Entertainment Holdings will reopen 140 more theaters by Sept. 4, meaning roughly 70% of the theater chain's locations across the country will be operating.

DraftKings Inc. named NBA Hall of Famer Michael Jordan as a special adviser to the board of directors. Jordan will take an equity stake in the company in exchange for his guidance and strategic advice.

Exxon Mobil Corp. is considering cuts to its global workforce after announcing a voluntary lay-off program in Australia.

Looking at commodities, gold slid $2.60 to $1,976.30 an ounce while West Texas Intermediate crude oil ticked up 10 cents to $42.86 per barrel.

U.S. Treasurys slid, pushing the 10-year note yield up 2.1 basis points to 0.692%.

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European markets were trading higher across the board with Germany’s DAX up 2.44%, France’s CAC advancing 2.27% and Britain’s FTSE gaining 1.65%.

In Asia, Japan’s Nikkei added 0.47% while China’s Shanghai Composite and Hong Kong’s Hang Seng slipped 0.17% and 0.26%, respectively.

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