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* Economy-conscious cyclists, small captains win
* Pfizer raises supply contracts for COVID-19 drugs
* Unemployment claims decline, consumer spending falls
* Dow gains 0.38%, S&P up 0.07%, Nasdaq down 0.29% (Updates to closing prices)
NEW YORK, Dec 23 (Reuters) – The S&P 500 closed in a bullish zone on Wednesday as an expected stimulus contract and unearned bids forced investors to invest in larger sectors likely to benefit from the reopening of the economy when it comes to the global health crisis.
While the Dow-chip Downs and small caps dominated the gains, the tech-heavy Nasdaq ended the session lower.
Economically vulnerable cyclical stocks, hit by licensed closures and benefiting most from economic recovery, performed better.
The move into cyclical cycles reflects growing confidence in recovering from the pandemic recession, and began to respond and begin after promising end-of-term vaccine data released in early November.
“It’s a very welcome sign to see circulation into depressed regions,” said Matthew Keator, managing manager at Keator Group, a wealth management company in Lenox, Massachusetts. “It discusses the importance of valuation and the importance of multiplication. ”
“It also speaks to the hope that is out there,” Keator said. “When you see oil build and travel and tourism businesses pick up, it speaks to the market looking ahead and prices in that hope.”
The potential end-of-year closure of the U.S. government as well as a lack of new fiscal stimulus lifted its head after President Donald Trump threatened to block a $ 2.3 trillion funding package, which also includes a relief deal the long-awaited $ 892 billion pandemic.
The Brexit trade deal between Britain and the European Union has become more likely after a top European representative told Reuters that an agreement could be close.
A number of mixed economic data showed a welcome decrease in jobless claims and an increase in new orders for durable goods, but also a pullback in consumer spending, allowing for personal income and reducing sentiment while and the holiday shopping period is coming to an end amid a relapsing remitting disease.
But languid inflation data provided further confirmation that the U.S. Federal Reserve is likely to maintain its appropriate monetary policy at least until 2024.
The Dow Jones industrial average rose 114.32 points, or 0.38%, to 30,129.83, the S&P 500 gained 2.75 points, or 0.07%, to 3,690.01 and the Nasdaq Composite fell 36.80 points, or 0.29%, to 12,771.11.
Of the 11 major divisions in the S&P 500, all but real estate and utilities ended the session in black.
Drugmaker Pfizer Inc rose 1.9% after a deal with the United States to deliver an additional 100 million doses of the COVID-19 vaccine by July.
Supernus Pharmaceuticals Inc rose 14.6% after its experimental drug for attention deficit hyperactivity disorder achieved the primary goal of late stage study in adults.
Shares of Nikola Corp fell 10.7% after it canceled a contract to develop waste electric trucks with the recycling company and get rid of Republic Services Inc.
American Airlines Group and United Airlines Holdings rose 2.6% and 2.7%, respectively, after announcing plans to bring back furloughed employees this month. The company ‘s business hopes to raise around $ 15 billion in payment support as part of its forthcoming fiscal relief package.
Leading cases higher than those declining on the NYSE with a 2.38-to-1 ratio; on Nasdaq, preferred a ratio of 1.73-to-1 promoters.
The S&P 500 raised 33 new 52-week highs and no new levels; the Nasdaq Composite recorded 280 new heights and two new signs.
U.S. exchanges traded up 12.22 billion shares, compared to an average of 11.52 billion over the last 20 trading days. (Reporting by Stephen Culp; Editing by Cynthia Osterman)