After ending the previous session sharply lower, stocks have seen considerable volatility during trading on Tuesday. The choppy trading comes as traders weigh the latest news out of Greece against a batch of largely upbeat U.S. economic data.
The major averages have shown a notable move to the upside in recent trading. The Dow is currently up 45.30 points or 0.4 percent at 12,740.65, the Nasdaq is up 21.21 points or 0.7 percent at 2,923.79 and the S&P 500 is up 4.30 points or 0.3 percent at 1,342.65.
The volatility being seen on Wall Street comes on the heels of news that Greece appears headed for a new round of elections after lawmakers failed to form a coalition government.
The new elections are seen as referendum on whether Greece should remain a member of the eurozone, adding to the recent uncertainty about Europe.
Concerns about the situation in Europe have partly offset the positive sentiment generated by upbeat reports on homebuilder confidence, regional manufacturing activity, and retail sales.
Not long after the start of trading, the National Association of Home Builders released a report showing a significant improvement in homebuilder confidence in the month of May, with the homebuilder confidence index reaching a five-year high.
The report showed that the NAHB/Wells Fargo Housing Market Index jumped to 29 in May from a downwardly revised 24 in April. Economists had expected the index to edge up to 26 from the 25 originally reported for the previous month.
A separate report from the New York Federal Reserve showed a much faster than expected expansion in New York manufacturing activity
The New York Fed said its general business conditions index jumped to 17.1 in May from 6.6 in April, with a positive reading indicating an increase in regional manufacturing activity. Economists had expected the index to show a more modest increase to a reading of 10.0.
Additionally, the Commerce Department said retail sales edged up by 0.1 percent in April following a revised 0.7 percent increase in March. Economists had expected sales to increase by 0.1 percent compared to the 0.8 percent growth originally reported for the previous month.
Core sales, which exclude gas, autos, and building materials, rose by 0.4 percent in April, exceeding estimates for a 0.3 percent increase.
Among individual stocks, shares of Home Depot (HD) are down by 1.9 percent after the home improvement retail giant reported first quarter earnings that exceeded analyst estimates but on weaker than expected sales. The company also raised its full year earnings and sales guidance.
Sector News
Most of the major sectors are showing only modest moves in mid-day trading, contributing to the lack of direction being shown by the broader markets.
Nonetheless, electronic storage stocks have shown a strong move to the upside on the day, driving the NYSE Arca Disk Drive Index up by 1.1 percent. Hutchinson Technology (HTCH) and Imation (IMN) are turning in two of the sector's best performances.
Significant strength has also emerged among housing stocks, which have recovered from early weakness on the heels of the upbeat homebuilder confidence data. The Philadelphia Housing Sector Index is up by 1.6 percent after falling as much as 1.4 percent in early trading.
While strength is also visible among trucking, railroad, and software stocks, natural gas stocks are seeing considerable weakness on the day. The NYSE Arca Natural Gas Index is down by 1.1 percent, with Chesapeake Energy (CHK) leading the way lower.
Steel and oil service stocks are also posting notable losses, with the weakness among oil service stocks coming amid a modest decrease by the price of crude oil.
Other Markets
In overseas trading, stock markets across the Asia-Pacific region turned in another mixed performance on Tuesday. Japan's Nikkei 225 Index fell by 0.8 percent on the day, while Hong Kong's Hang Seng Index advanced by 0.8 percent.
Meanwhile, the major European markets turned lower on the day after seeing early strength. The German DAX Index fell by 0.8 percent, while the French CAC 40 Index and the U.K.'s FTSE 100 Index dropped by 0.6 percent and 0.5 percent, respectively.
In the bond market, treasuries have seen some volatility on the day along with stocks. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is down by less than a basis point at 1.783 percent.
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Market Analysis
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.