Dow gives up 100-point gain, turns negative as yields and oil rise: Live updates

stocks fell on Wednesday, building on sharp losses from the previous session, as rising Treasury yields and oil bond prices dampened investor confidence.

The Dow Jones Industrial Average fell 114 points, or 0.3%. At the start of the session, the Dow Jones gained up to 100 points. The S&P 500 and the Nasdaq Composite each lost 0.1%, which erased previous gains.

The benchmark 10-year Treasury yield remained flat after daily declines and was near its highest level since 2007. The 2-year Treasury yield also rose. Meanwhile, the United States futures rose nearly 3% and were last trading above $93 a barrel.

These measures raised fears that inflation could continue and prompted the Federal Reserve to keep interest rates high for longer.

The best-performing sector was the energy sector, which recorded an increase of more than 2%. Marathon Oil and APA led the way with gains of more than 3%.

Rising interest rates have recently put pressure on stocks. On Tuesday, the S&P 500 index fell below the key 4,300 mark for the first time since June. The Dow Jones also posted its biggest daily loss since March, falling more than 300 points and closing below its 200-day mark for the first time. moving average. From May. The losses came after data on new home sales and consumer confidence released Tuesday fell short of economists’ estimates.

In Greg Bassuk’s perspective as the CEO of AXS Investments, inflation continues to be a significant source of worry. Investors expressed heightened apprehension, not solely regarding the escalation of interest rates, but also regarding their potential repercussions on enterprises burdened by increased financing expenses.

The market is currently experiencing an “unusually weak September,” said Robert Schein, chief investment officer at Blanke Schein Wealth Management. The S&P 500 index fell more than 4% in September, while the Dow Jones fell more than 3%. The Nasdaq remains in the top three after losing more than 6% this month.

Schein expects volatility to continue into October before any change occurs. He mentioned that the onset of earnings season, slated for mid-October, holds the potential to serve as the driving force required to halt the ongoing market correction, should results surpass expectations.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top