Title: Mixed Trading on Wall Street as Interest Rate Worries Persist
In a day of mixed trading on Wall Street, U.S. stocks are drifting as concerns about high interest rates compete with strong profit reports from some big companies. The S&P 500 was slightly lower, the Dow Jones Industrial Average was up, and the Nasdaq composite was flat.
UnitedHealth and Morgan Stanley reported better-than-expected results, boosting the market. However, Northern Trust and Johnson & Johnson saw declines despite topping profit forecasts. The market was also calmed by rebounds for influential Big Tech stocks like Microsoft and Nvidia.
With interest rates at their highest level in over two decades, traders are pushing out forecasts for when the Federal Reserve will begin cutting rates. A speech by the vice chair of the Federal Reserve indicated that inflation may ease, but the Fed is likely to hold rates steady for now.
The yield on the 10-year Treasury rose to 4.65%, while the yield on the two-year Treasury, which tracks expectations for Fed action, also increased. Stocks that are sensitive to interest rates, like utility stocks and real estate investment trusts, led the market lower.
In international markets, indexes in Asia and Europe fell as they followed Wall Street’s decline. Overall, the market remains uncertain as investors navigate the impact of interest rates on various sectors.
The stock of Donald Trump’s social-media company, Trump Media & Technology Group, continued to slump as it announced plans to stream live TV on its Truth Social app. The stock has dropped significantly from its recent highs as the company faces challenges in the market.
As traders await further guidance from the Federal Reserve, the market is likely to see continued volatility as investors assess the impact of interest rates on different industries. Stay tuned for updates on this developing story.
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