US: Stocks mostly higher on progress of stimulus package

[NEW YORK] Wall Street stocks were mostly higher early Monday as optimism over congressional progress on a massive US fiscal package countered worries it could boost inflation.

US President Joe Biden has applauded Saturday's narrow Senate passage of the US$1.9 trillion spending package, which is now back in the House of Representatives and likely heading towards enactment.

About 25 minutes into trading, the Dow Jones Industrial Average gained 0.6 per cent to 31,699.33.

The broad-based S&P 500 advanced 0.2 per cent to 3,850.57, while the tech-rich Nasdaq Composite Index fell 0.3 per cent to 12,883.11.

Mr Biden's Bill will provide additional support for unemployed workers and low-income families, as well as up to US$1,400 stimulus checks to most Americans.

The proposal has raised hopes about a strong economic recovery in the latter half of 2021, but has also sparked concerns about runaway inflation. Yields on US Treasury bonds have risen in recent weeks, amplifying worries of a dramatic shift in US monetary policy.

AFP