Dow, S&P 500 edge up as rate-cut bets firm; energy stocks rise
For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window.
PDD Holdings slumps after quarterly revenue miss
Oil companies up on supply disruption fears, Middle East tensions
Dow hits intraday record high
Indexes: Dow up 0.42%, S&P 500 up 0.11%, Nasdaq off 0.20%
Updated at 9:58 a.m. ET/1358 GMT
By Johann M Cherian and Purvi Agarwal
Aug 26 (Reuters) - The Dow and the S&P 500 inched up in choppy trading onMonday as markets cemented bets on an imminent rate cut by the Federal Reserve and awaited Nvidia results later in the week, while energy stocks were boosted after crude oil prices jumped.
The blue-chip index led gains among peers and hit an intraday record high as marketswelcomed U.S.Federal Reserve Chair Jerome Powell's comments on Friday, when he said "the time has come" to lower borrowing costs in the light of diminishing upside risk to inflation and moderating labor demand.
The main indexes rallied more than 1% in the previous session, with the benchmarkS&P 500 .SPX also nearingrecord highs. Rate-sensitive small caps .RUT logged their strongest day in six week as equities continued to pare losses from the market rout in early August.
Odds of a 25-basis-point rate cut stand at69.5%, while thoseof a 50-bps cut are at30.5%, according to the CME Group's FedWatch tool.
"The name of the game is the Fed. They did what the markets anticipated, so that's good news that they're going to start the easing cycle," said Thomas Hayes, chairman at Great Hill Capital LLC.
Attention will turn to the gross domestic product estimates for the second quarter and July'sPersonal Consumption Expenditure data, the central bank's preferred inflation gauge, due later in the week.
At 9:58 a.m. ET, the Dow Jones Industrial Average .DJI was up 171.49 points, or 0.42%, at 41,346.57, the S&P 500 .SPX was up 6.01 points, or 0.11%, at 5,640.62, and the Nasdaq Composite .IXIC was down 36.60 points, or 0.20%, at 17,841.20.
A majority of the S&P 500 sectors advanced, led by a 1.7% rise in Energy .SPNY stocks, which hit a one-week high as crude prices jumped nearly 3%. Reports of production stoppages in Libya piled on to fears of supply disruptions from the Middle East as thegeopolitical conflict continued.
As earnings season draws to a close, chipdesigner and AI-favorite NvidiaNVDA.O, whose results are scheduled on Wednesday, traded up 0.4%.
Markets have been less forgiving this quarter of highly valued megacap stocks, which spearheaded the excitement around artificial intelligence.
They will scrutinize Nvidia's earnings to justify the stock's more than 160% year-to-date jump, which pushed its market cap value to No. 2, just below that of Apple AAPL.O, as of Friday's close.
"The two concerns and risks are going to be their (Nvidia's) gross margins... and their guidance," Hayes said.
Results from Dell DELL.N, Salesforce CRM.N, Dollar General DG.N and Gap GAP.N are expected throughthe week.
Limiting gains on the tech-heavy Nasdaq, U.S.-listed shares of PDD Holdings PDD.O sank 26.8% after the Temu-owner missed market expectations for second-quarter revenue.
Boeing BA.N slipped 0.40% after NASA picked SpaceX over the planemaker's Starlinerto return its astronauts from space next year.
Advancing issues outnumbered decliners by a 3.28-to-1 ratio on the NYSE, andby a 1.64-to-1 ratio on the Nasdaq.
The S&P index recorded 78 new 52-week highs and no new lows, while the Nasdaq recorded 108 new highs and 10 new lows.
Reporting by Johann M Cherian in Bengaluru; Editing by Pooja Desai
Asset collegati
Ultime news
Disclaimer: le entità di XM Group forniscono servizi di sola esecuzione e accesso al nostro servizio di trading online, che permette all'individuo di visualizzare e/o utilizzare i contenuti disponibili sul sito o attraverso di esso; non ha il proposito di modificare o espandere le proprie funzioni, né le modifica o espande. L'accesso e l'utilizzo sono sempre soggetti a: (i) Termini e condizioni; (ii) Avvertenza sui rischi e (iii) Disclaimer completo. Tali contenuti sono perciò forniti a scopo puramente informativo. Nello specifico, ti preghiamo di considerare che i contenuti del nostro servizio di trading online non rappresentano un sollecito né un'offerta ad operare sui mercati finanziari. Il trading su qualsiasi mercato finanziario comporta un notevole livello di rischio per il tuo capitale.
Tutto il materiale pubblicato sul nostro servizio di trading online è unicamente a scopo educativo e informativo, e non contiene (e non dovrebbe essere considerato come contenente) consigli e raccomandazioni di carattere finanziario, di trading o fiscale, né informazioni riguardanti i nostri prezzi di trading, offerte o solleciti riguardanti transazioni che possano coinvolgere strumenti finanziari, oppure promozioni finanziarie da te non richieste.
Tutti i contenuti di terze parti, oltre ai contenuti offerti da XM, siano essi opinioni, news, ricerca, analisi, prezzi, altre informazioni o link a siti di terzi presenti su questo sito, sono forniti "così com'è", e vanno considerati come commenti generali sui mercati; per questo motivo, non possono essere visti come consigli di investimento. Dato che tutti i contenuti sono intesi come ricerche di investimento, devi considerare e accettare che non sono stati preparati né creati seguendo i requisiti normativi pensati per promuovere l'indipendenza delle ricerche di investimento; per questo motivo, questi contenuti devono essere considerati come comunicazioni di marketing in base alle leggi e normative vigenti. Assicurati di avere letto e compreso pienamente la nostra Notifica sulla ricerca di investimento non indipendente e la nostra Informativa sul rischio riguardante le informazioni sopra citate; tali documenti sono consultabili qui.
