Closing
Wall Street ends in the green, investors await the Fed
published on 07/09/2022
couple Carolina Mandl
(Archyde.com) – The New York Stock Exchange ended higher on Wednesday on lower bond yields as investors wait to see what the Federal Reserve will do at its next meeting.
L’indice Dow Jones a gagn 1,4%, ou 435,98 points, 31581,28 points.
The broader S&P-500 gained 71.68 points, or 1.83%, to 3,979.87 points.
The Nasdaq Composite advanced on its side by 246.99 points (2.14%) to 11,791.90 points.
The market has fallen sharply since the statements in mid-August by the President of the American Central Bank, Jerome Powell, on the need to continue raising rates, and because of the economic slowdown in Europe and China.
The recent indicators, which show good resilience of the American economy, have also led economists to anticipate a rise in interest rates of 75 basis points at the next Fed meeting at the end of September.
Ten-year Treasury bills fell on Wednesday after hitting a three-month high the previous day.
Investors are still looking for clues as to how the Fed will decide to raise interest rates in order to fight inflation.
“Bond markets are doing a little better today, which is giving the stock market a little more positive sentiment, but the big concerns are still what the Fed is going to do on September 21. So every day we’re seeing a va- back and forth,” says Brent Schutte, chief investment officer at Northwestern Mutual Wealth Management Company.
Investors are now awaiting Jerome Powell’s speech scheduled for Thursday, and the publication of consumer price figures expected next week.
The Federal Reserve has estimated in its “Beige Book”, which serves as a working basis for the Monetary Policy Committee (FOMC) of the Fed, that the pressures on prices should persist at least until the end of the year.
At stocks, the energy sector was down with the decline in oil amid concerns over demand.
Amazon, Tesla and Microsoft posted gains and carried the Nasdaq.
Chinese electric vehicle maker Nio ended the session in the green after trending lower as second-quarter sales beat expectations offsetting a widening adjusted net loss.
* The reminder of the session in Europe: [.EUFR]
* TO BE FOLLOWED ON THURSDAY:
(With contributions from Sruthi Shankar and Ankika Biswas; French version Camille Raynaud)