S&P 500, Nasdaq inch up as investors assess Russia-Ukraine tensions
For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
Walmart gains after raising annual sales, profit forecast
Super Micro surges after auditor appointment
Indexes: Dow down 0.32%, S&P 500 up 0.16%, Nasdaq up 0.55%
Updates with markets paring losses
By Lisa Pauline Mattackal and Purvi Agarwal
Nov 19 (Reuters) -The S&P 500 and the tech-heavy Nasdaq edged higher on Tuesday, paring earlier losses as investors assessed Russia's warning to the United States with a new nuclear doctrine, and awaited quarterly results from AI-heavyweight Nvidia.
Stocks had slid in early trading after Russian President Vladimir Putin lowered the threshold for a nuclear strike in response to a broader range of conventional attacks earlier in the day, and Moscow said Ukraine had struck deep inside Russia with U.S.-made long-range missiles.
All three major indexes opened lower and the benchmark index dropped as much as 0.64%, while the Russell 2000 .RUT fell to its lowest since the Nov. 5 U.S. presidential election, as investors rushed to safe-haven assets such as government bonds and gold.
However, stocks pared losses after Russian Foreign Minister Sergei Lavrov said Moscow will do everything possible to prevent the breakout of a nuclear war.
The CBOE Volatility index .VIX had briefly jumped to its highest since the Nov. 5 U.S. election, at 17.93, before slightly easing to 15.98.
"We are in a void of nothing in terms of immediate catalysts, so the markets have to find something to focus on...today's geopolitical news and saber rattling over nuclear tensions... (are) pulling markets lower," said Jack Janasiewicz, lead portfolio strategist at Natixis Investment Managers Solutions.
The resurgence of geopolitical tensions added jitters during a crucial week for Wall Street, as investors await key cabinet appointments for President-elect Donald Trump's administration, assess the possible path for interest rate cuts and await quarterly earnings from Nvidia NVDA.O.
Nvidia, which reports third-quarter results on Wednesday, gained 2.7%, boosting the information technology sector .SPLRCT that buoyed the benchmark S&P 500.
Most megacap stocks such as Apple AAPL.O and Amazon.com AMZN.O also trended higher and lifted the Nasdaq.
Meanwhile, healthcare shares weighed on the Dow. The losses were limited by a 3.6% gain in retail giant Walmart WMT.N that hit a record high after it raised its annual sales and profit forecasts for the third consecutive time.
At 11:50 a.m. the Dow Jones Industrial Average .DJI fell 138.80 points, or 0.32%, to 43,252.18, the S&P 500 .SPX gained 9.63 points, or 0.16%, to 5,903.25 and the Nasdaq Composite .IXIC gained 102.59 points, or 0.55%, to 18,894.34.
The small-cap index was last up 0.2%.
Most investors have maintained fairly upbeat forecasts for equities - both Goldman Sachs and Morgan Stanley have forecast the S&P 500 would reach 6,500 by the end of 2025.
AI server maker Super Micro Computer SMCI.O leapt 34% after the company named BDO USA as its auditor and said it has submitted a plan to the Nasdaq to avoid delisting.
Home improvement retailer Lowe's LOW.N lost 4% despite forecasting a slower-than-expected drop in annual comparable sales.
Kansas Fed president Jeffrey Schmid is scheduled to speak later in the day.
Declining issues outnumbered advancers by a 1.16-to-1 ratio on the NYSE and by a 1.04-to-1 ratio on the Nasdaq.
The S&P 500 posted 15 new 52-week highs and 15 new lows, while the Nasdaq Composite recorded 35 new highs and 176 new lows.
Walmart earnings https://reut.rs/48VOnCg
Reporting by Lisa Mattackal and Purvi Agarwal in Bengaluru; Editing by Shounak Dasgupta and Shinjini Ganguli
Related Assets
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
