U.S. Stocks Steady Amid Market Volatility and Fed Speculations
U.S. stocks were mostly flat amid volatile trading influenced by labor market data and Federal Reserve comments. Job openings hit a 3-1/2-year low, possibly prompting an interest rate cut. Major indexes were generally flat, with utilities gaining and other sectors suffering. Nvidia and Tesla saw minor gains, while other tech giants slipped.
U.S. stocks largely remained steady in choppy trading on Wednesday, influenced by labor market data and comments from a Federal Reserve official supporting an interest rate cut. The Labor Department revealed a drop in job openings to a 3-1/2-year low in July, indicating a relaxation in labor market pressures that could encourage the Fed to reduce rates in their upcoming meeting.
The S&P 500, Nasdaq, and Dow indexes showed minimal movement, with gains in utility stocks while energy and healthcare sectors dragged. 'For me, even though the index is flat or down a couple of basis points, actually the market is up,' noted Eric Beyrich, co-chief investment officer at Sound Income Strategies. He added that data often get skewed by large-cap tech companies.
Nvidia observed a slight uptick of 0.2% following a massive market value drop, amid DOJ's deepening antitrust probe. Other tech giants like Apple and Amazon.com saw slight declines, while Tesla surged nearly 5%. Raphael Bostic, Atlanta Fed president, cautioned against keeping interest rates elevated too long, as it could undermine employment. The Dow saw a minor rise, the S&P 500 a small loss, and the Nasdaq was nearly unchanged.
(With inputs from agencies.)
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