Hopes for at least a short-term reprieve from the debt ceiling crunch gave Wall Street a shot in the arm in morning trading today.
House Republicans huddled this morning to discuss a temporary increase to the debt ceiling, according to reports.
The federal government — which has been shut down for 10 days in a political standoff over President Obama’s healthcare overhaul — is expected to run out of money on Oct. 17 without an increase to its borrowing limit from Congress. Economists fear that the bedrock U.S. Treasury bond would be undermined if the U.S. were unable to maintain its debt payments for even a short period.
By 10:45 on Wall Street, the S&P 500 Retailing Industry Group jumped 1.6 percent, or 13.22 points, to 835.92, as the Dow Jones Industrial Average, shot up 1.4 percent, or 209.87 points, to 15,012.85.
The gainers included Nike Inc., up 2.8 percent to $72.87; Lululemon Athletica Inc., 2.9 percent to $76.05; Michael Kors Holdings Ltd., 2.4 percent to $74.19, and Amazon.com Inc., 2.5 percent to $305.60.