Stocks on Wall Street extended gains On Wednesday, investors review a streak of mostly encouraging quarterly earnings from several large companies.
The Standard & Poor’s 500 It rose 1.6% to its highest level in nearly two months. The Nasdaq rose 2.59% and Dow Jones gained 1.28 percent.
The indices recovered more losses than those that occurred earlier in the week. companies technologyThe retailers and companies Communications They were among the biggest winners. Just rate the sector Energetic It fell, affected by lower oil prices.
Values small businesses They also gained ground, pushing the Russell 2000 1.4% higher.
Investors celebrated a report on the sector Services, which make up most of the US economy. The sector grew faster than expected in July, according to the newspaper Institute of Supply Management.
“This is further evidence that the economy is resisting.”said Jeff Bushbinder, equity strategist at LPL Financial. “Right now, we have a body of evidence that inflation is declining.”
10-year treasury bond yield It rose to 2.75% from 2.73% on Tuesday.
Earnings remain in the spotlight this week, Where investors analyze the latest results and data of the company To better understand how inflation affects businesses and consumers.
prices petroleum It fell after OPEC’s decision to increase production in September at a much slower pace than in previous months. US crude fell 4% to $90.66 a barrel, while international benchmark Brent crude fell 3.7% to $96.78 a barrel.
Markets are also watching for potential economic fallout from China after US House Speaker Nancy Pelosi’s visit to Taiwan.. China claims that Taiwan is self-governing as part of its territory, and has banned its imports citrus fruits s fish Taiwanese froze in response to Pelosi’s visit. But he avoided disrupting the flow of computer chips and other industrial products, a move that could rock the global economy.
Next data on Labor market They can help investors determine how the Federal Reserve will proceed with interest rate policy, which has been aggressive in an effort to rein in inflation. Last week’s jobless claims numbers will be released on Thursday, and on Friday the government will release the jobs report for July.
“Expectations of an interest rate hike by the Federal Reserve may have become too intenseBushbinder said. “We don’t know if we’ll have a pause by the end of the year, but there’s a good chance we’ll get a pause by the end of the year.”
(with information from AP)