Both chambers of Congress on Friday adopted a resolution that would allow Democrats to use budget reconciliation rules to pass the plan with a simple majority rather than the 60 votes that are normally required. Biden, over the weekend, conceded that a $15 minimum wage likely wouldn’t be included in the final bill.
The Dow Jones Industrial rallied 236 points, or 0.76%, while the S&P 500 and the Nasdaq Composite gained 0.74% and 0.95%, respectively. The advance boosted all three of the major averages to record highs with the Dow and the S&P booking gains for a sixth straight day.
Disney rallied nearly 5% ahead of earnings on Thursday, while energy stocks rose as oil continued its climb. West Texas Intermediate crude oil climbed $1.12 to $57. per barrel, as Brent crude oil edged up $1.22 to $60.56 per barrel, the highest level in nearly a year.
In other stocks, GameStop Corp. shares resumed their slide after seeing one day of reprieve on Friday as Robinhood Markets Inc. lifted trading restrictions on the videogame maker and other heavily shorted stocks. GameStop shares surged 19% Friday after plunging 84% over the four previous sessions.
Meanwhile, Tesla Inc. invested $1.5 billion in bitcoin and said it would begin accepting the cryptocurrency for car purchases in the near future, subject to applicable laws and initially on a limited basis.
The move would make Tesla the first automaker to accept bitcoin.
Shares of South Korea’s Hyundai Motor Co. tumbled after the automaker said it is no longer in talks with Apple Inc. about teaming up to make the Apple Car. Hyundai affiliate Kia Corp., which was also reported to be included in talks, was also trading sharply lower.
In earnings, Hasbro Inc. reported revenue rose 20% from a year ago as the COVID-19 pandemic resulted in strong demand for board games during its holiday quarter.
In other commodities, silver gained 55.6 cents to $27.57 per ounce.
Overseas markets rallied across the board.
Britain’s FTSE 100 closed up 0.53% while France’s CAC 40 and Germany’s DAX 30 gained 0.47% and 0.02%, respectively.
In Asia, Hong Kong’s Hang Seng index edged up 0.11%, China’s Shanghai Composite advanced 1.03% and Japan’s Nikkei 225 climbed 2.12%.