Biotech shares have been lately seeing sharp declines after the Democratic presidential candidate Hillary Clinton publically opposed a sudden price rise in certain life saving drugs and declared to take on the pharmaceutical companies on this issue. The Nasdaq biotechnology index ended down 3.8 percent, recovering from deeper losses of around 6.6 percent.
The MSCI Asia Pacific Index climbed 0.8% to 129 as of 11.01 a.m.in Tokyo, extending its five-day gain to 6.4%.
The USA stocks surged for a second straight session on Monday as Wall Street believed that the possibility for the US Federal Reserve to raise interest rates this year becomes lower after a poor jobs report.
“I think we had a very successful retest of the August lows so there’s reason for optimism”, said James Meyer, chief investment officer at Tower Bridge Advisors.
The restaurant operator reported third-quarter results, including trouble in its key China operation, that disappointed investors.
Indeed, the Fed-funds futures market on Monday was pricing in a 7% probability of a rate increase in October, down from 14% Thursday before the weak jobs report, according to the CME Group’s FedWatch tool (http://www.cmegroup.com/trading/interest-rates/countdown-to-fomc.html).
The Dow Jones Industrial Average gained 304.06 points or 1.85 percent to settle at 16,776.43.
Caterpillar papers, however tied in its price drop from the previous day and lost another 0.86 percent.
Materials led advancers on the S&P 500, which held a touch lower.
Oil prices were mixed, with West Texas Intermediate declining 0.32% to $46.11 a barrel, while Brent crude rose 0.20% to $49.35 a barrel.
DuPont rose 10 percent to US$56.41 after CEO Ellen Kullman said she would step down.
The Dow is up 317.82 points, or 1.9 percent.
After the bell, restaurant operator Yum! Analysts described the results of the current quarter as slightly worse than expected.
Advancing issues outnumbered decliners on the NYSE by 1,794 to 1,111.
The Nasdaq is up 40.59 points, or 1.9 per cent.
An unexpected chief executive resignation at DuPont lifted the Dow in early trade Tuesday as the S&P 500 and Nasdaq edged higher.
This story has not been edited by Firstpost staff and is generated by auto-feed.