By Dhirendra Tripathi
Investing.com -- Stocks hovered near intraday highs on Tuesday as the long-awaited infrastructure bill passed in the Senate 69-30, which means Democrats got 19 Republicans to side with them.
The bill, which calls for more than $500 billion in additional federal spending on roads, bridges, railroads and broadband, now heads to the House of Representatives for consideration, where the odds of passage are slimmer.
The prospect of billions of dollars going into the sectors that support the nation’s infrastructure -- from industrials to manufacturing to telecommunications -- buoyed stocks.
Democrats also want to pass a $3.5 trillion budget that includes the other half of President Joe Biden’s agenda, namely a sweeping set of priorities aimed at easing poverty, improving access to education and health and personal care, and addressing climate change.
Energy stocks led the broader-market gains on Tuesday, rebounding from a gloomy mood on Monday. Falling demand because of new travel restrictions in China to stop a new outbreak of Covid-19 cases continued to weigh on the oil market.
While earnings are winding down, investors cheered the latest mostly positive reports. Movie chain operator AMC Entertainment Holdings Inc (NYSE:AMC), which has become one of the high-profile meme stocks this year, reported a narrower than expected loss after Monday’s close on better than expected revenue.
Here are three things that could affect markets tomorrow:
1. A glimpse at inflation
The consumer price index for July is due out from the Bureau of Labor Statistics at 8:30 AM ET (1230 GMT). Analysts tracked by Investing.com expect a gain of 5.3% over last year, negligibly lower than June’s 5.4%. The June increase was the biggest monthly gain since August 2008.
Core inflation, which excludes food and energy prices, is expected to have climbed 4.3% in July from a year ago against the 4.5% jump in June, which was the quickest pace of increase since September 1991.
2. eBay earnings
Online auction operator eBay Inc (NASDAQ:EBAY) reports earnings on Wednesday and is expected to announce per-share profit of 95 cents on revenue of $3 billion.
3. Lordstown Motors earnings
Lordstown Motors Corp (NASDAQ:RIDE) is seen posting a loss of 46 cents per share when it declares its second-quarter results on Wednesday.