Search News
Close this search box.

US STOCKS-S&P, Dow on track to snap 3-day losing streak as banks gain

© Provided by The Rahnuma Daily

* ECB stands pat on interest rates; dovish on guidance * U.S. jobless claims rose to 243,000 last week – report * Apple top drag on S&P and Nasdaq * Indexes up: Dow 0.15 pct, S&P 0.14 pct, Nasdaq 0.12 pct (Adds details, comments, updates prices) By Yashaswini Swamynathan March 9 (Reuters) – The S&P 500 and the Dow Jones IndustrialAverage were on track to snap a three-day losing streak onThursday, as bank stocks climbed amid signs of strength in thelabor market and a near-certain interest rate hike. The S&P financial index rose 0.6 percent asinvestors turned their attention to a crucial nonfarm payrollsreport on Friday that would bolster already sky-high odds of arate hike during the Federal Reserve’s meeting on March 14-15. Fueling the rise in the bank stocks was a Labor Departmentreport on Thursday that showed the number of Americans applyingfor unemployment benefits rose to 243,000 last week, butremained below 300,000 for the 105th week, pointing to a healthylabor market. An improving U.S. labor market and inflation have promptedunusually hawkish rhetoric from several Fed officials in thepast weeks, leading traders to price in a near 90 percent chanceof a quarter point rate increase next week. “The market is setting up for the two-part symphony we aregoing to see over the next four trading days, the first istomorrow’s jobs number and then the Fed meeting, which is thereal big event,” said Joe Brusuelas, chief economist at RSM USLLP. A frenetic post-election rally on bets of reduced regulationand tax cuts under President Donald Trump has been losing steamas investors fret over valuations and the possibility of Fedraising rates more aggressively. “The fundamentals of the economy are sufficient to supportwhere we are at now, but for further upside, we’ll need to seeprogress on Trump’s policies,” said Brusuelas. Meanwhile, the European Central Bank stood firm on itsstimulus program but said there was no longer a sense of urgencyin taking further action to counter deflation. At 11:07 a.m. ET (1607 GMT), the Dow was up 32.27points, or 0.15 percent, at 20,888, the S&P 500 was up3.41 points, or 0.14 percent, at 2,366.39 and the NasdaqComposite was up 7.01 points, or 0.12 percent, at5,844.57. Seven of the 11 major S&P sectors were higher, with energy down 0.3 percent as oil prices slumped to their lowestlevel since late November. Johnson & Johnson was the top stock on the broaderS&P index and the Dow, up 1.2 percent after Jefferies raised itsprice target on the healthcare conglomerate’s stock. Apple was the top drag on the S&P and the Nasdaq,slipping 0.3 percent on chatter that iPhone 8 launch could bedelayed. American International Group edged up 0.5 percent at$63.77 after Chief Executive Officer Peter Hancock said he wouldresign. Shares of e.l.f Beauty jumped 15 percent followingthe cosmetics maker’s better-than-expected quarterly revenue. Declining issues outnumbered advancers on the NYSE by 1,721to 1,071. On the Nasdaq, 1,481 issues rose and 1,170 fell. The S&P 500 index showed 19 new 52-week highs and 10 newlows, while the Nasdaq recorded 41 new highs and 31 new lows. (Reporting by Yashaswini Swamynathan in Bengaluru; Editing bySriraj Kalluvila)

share it

Get free tips and resources right in your inbox, along with 10,000+ others

Related Article