Stock prices fell sharply in early Tuesday trading, but rose again in the morning. While the key averages are well below session lows, tech-heavy Nasdaq continues to plummet.
The Dow fell more than 360 points early in the session, but is now down 82.56 points (0.3%) at 31.439.13. The S & P 500 was down 16.35 points (0.4%) to 3,860.15, while the Nasdaq was below comparable performance, down 161.11 points (1.2%) to 13,371.93.
Wall Street’s early weaknesses reflect concerns about the outlook for inflation and the potential for higher interest rates due to recent rises in bond yields.
Yields on 10-year and 30-year bonds have reached their highest levels during the day. Coronavirus A pandemic early in the day.
However, selling pressure weakened as traders responded to the prepared remarks of the Federal Reserve Board of Jerome Powell at the Senate Banking Commission.
Powell said interest rates remained near zero and the Fed will continue to buy assets at current interest rates until “substantial further progress” is made towards the goal of maximum employment and price stability.
” Economy It’s a long way from employment and inflation targets, and it’s likely that it will take some time before substantial further progress is achieved. “
On inflation, Powell admitted that consumer prices had partially rebounded following the plunge last spring, but said prices in the sector most adversely affected by the pandemic remained “especially weak.”
The Federal Reserve Board said that annual inflation is below the central bank’s target of 2%, and monetary policy may remain unchanged until inflation is on track slightly above 2% “for some time”. Said it was expensive.
On the economic front of the United States, the Conference Board released a report in February showing that consumer confidence improved more than expected.
The Conference Board said the Consumer Confidence Index rose from 88.9, which was revised downwards in January, to 91.3 in February.
Economists expected the consumer confidence index to rise from 89.3, which was first reported last month, to 90.0.
Despite attempts by a wider person to recover market, There are considerable weaknesses among network stocks. The NYSE Arca Networking Index has risen significantly from its worst level of the day, but is still down 2.4%.
Gold stocks have also shown significant weakness after soaring in the previous session, with the NYSE Arca Gold Bug Index down 2.4%. After a surge of more than $ 30 an ounce on Monday, a pullback will occur as the price of gold is almost flat.
Semiconductor, computer hardware, and biotechnology stocks are also showing a noticeable downside, with a focus on the technology-intensive Nasdaq.
Meanwhile, airline stocks have expanded the rise seen in the last two sessions, raising the NYSE Arca Airline Index by 1.6%.
In overseas trading, the Asia-Pacific stock market fluctuated on Tuesday, and the Japanese market was closed due to a holiday. China’s Shanghai Composite Index fell 0.2%, while Australia’s S & P / ASX 200 Index rose 0.9%.
On this day, the major European markets were also mixed. Germany’s DAX index is down 0.7%, France’s CAC 40 index is up 0.2%, and the UK’s FTSE 100 index is up 0.3%.
In the bond market, government bonds have seen considerable volatility during the course of the session. Benchmark 10-year bond yields, which move in the opposite direction of price, are currently down 1.365% below the basis point.
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U.S. stocks regain ground after early sale, but continue to fall almost
Source link U.S. stocks regain ground after early sale, but continue to fall almost