Infrastructure Stocks Climb as Trump Pledges to Spend 'Big'By
President’s remarks come ahead of address to Congress Tuesday
Infrastructure-linked basket rises more than 3 percent
President Donald Trump breathed some life back into beaten-down stocks that have been seen as benefiting from higher spending on highways and bridges, promising to spend "on infrastructure big."
Construction materials and steel makers are among the best-performing industries on the S&P 500 on Monday, with a basket of infrastructure-linked stocks compiled by Bespoke Investment Group climbing more than 3 percent.
This price-weighted basket is comprised of AECOM, Chicago Bridge & Iron Co., Fluor Corp., Jacobs Engineering Group Inc., Martin Marietta Materials Inc., Vulcan Materials Co. and U.S. Steel Corp.
There is "no choice" but to spend on infrastructure, Trump said in remarks made in Washington before his address to Congress on Tuesday.
The basket of infrastructure shares had slumped for four consecutive weeks amid speculation that any fiscal stimulus from repairing the nation’s roads, bridges, and highways -- as Trump promised during his victory speech -- would be postponed until 2018.