The daily business briefing: February 13, 2018

Stocks post their second straight day of strong gains, Trump unveils a budget that boosts the military and the deficit, and more

President Trump's 2019 budget
(Image credit: SAUL LOEB/AFP/Getty Images)

1. Stocks post second day of strong gains, but futures droop

Global stocks came back strong on Monday after last week's sharp dive, which came after rising inflation stoked fears that the Federal Reserve would increase the pace of its interest rate hikes. The Dow Jones Industrial Average closed up by 410 points, or 1.7 percent. The S&P 500 and Nasdaq Composite also rose by more than 1 percent. Analysts warned that stocks would likely remain volatile, and a third straight day of gains appeared in doubt as U.S. stock futures fell early Tuesday. Jeff Schulze, investment strategist at ClearBridge Investments in New York, said stocks could drop some more, but that the economy's fundamentals were strong. "I do believe we haven't seen the low, we're pretty close to it and that this is a buying opportunity, just longer term in nature," Schulze said.

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