S&P wobbles on fresh trade uncertainty; Disney lifts Dow
By Lewis Krauskopf (Reuters) - The S&P 500 and Nasdaq stock indexes slipped on Wednesday on fresh uncertainty over U.S.-China trade relations, while a jump in Walt Disney shares boosted the Dow. Stocks pulled back in afternoon trading after the Wall Street Journal reported that U.S.-China trade negotiations have hit a snag over farm purchases, the latest development in a dispute between the two countries that has convulsed markets for more than a year. The three indexes had all been up earlier in the session, with the Dow hitting a record high, before the Journal report
By Lewis Krauskopf
(Reuters) - The S&P 500 and Nasdaq stock indexes slipped on Wednesday on fresh uncertainty over U.S.-China trade relations, while a jump in Walt Disney shares boosted the Dow.
Stocks pulled back in afternoon trading after the Wall Street Journal reported that U.S.-China trade negotiations have hit a snag over farm purchases, the latest development in a dispute between the two countries that has convulsed markets for more than a year.
The three indexes had all been up earlier in the session, with the Dow hitting a record high, before the Journal report. Stocks drifted higher after Federal Reserve Chairman Jerome Powell said U.S. central bankers see a "sustained expansion" ahead for the country's economy.
Stocks have recently climbed to records, fuelled by Fed interest rate cuts, third-quarter earnings exceeding low expectations and signs the economy is bottoming, while the U.S.-China trade dispute remains a key wild card.
"After a nice run, we are getting a little bit of pullback," said Mona Mahajan, U.S. investment strategist with Allianz Global Investors.
"Part of that run was driven by U.S.-China trade perhaps thawing or starting to see some at least resolution or trade truce, so this headline that just broke is not great for that part of the story."
The Dow Jones Industrial Average <.DJI> rose 53.81 points, or 0.19%, to 27,745.3, the S&P 500 <.SPX> lost 1.27 points, or 0.04%, to 3,090.57 and the Nasdaq Composite <.IXIC> dropped 16.71 points, or 0.2%, to 8,469.38.
Among the S&P 500 sectors, traditionally defensive groups such as utilities <.SPLRCU>, real estate <.SPLRCR> and consumer staples <.SPLRCS> were in positive territory, while cyclical sectors, such as energy <.SPNY> and materials <.SPLRCM> which are known for tracking the health of the economy, lagged.
"The leadership today is defensive," Mahajan said.
Walt Disney Co
Shares of streaming rival Netflix Inc
About three-fourths of S&P 500 companies have topped earnings estimates in their third-quarter reports, but the companies are still expected to have posted an overall 0.5% decline in earnings, according to Refinitiv data.
Declining issues outnumbered advancing ones on the NYSE by a 1.32-to-1 ratio; on Nasdaq, a 1.53-to-1 ratio favoured decliners.
The S&P 500 posted 23 new 52-week highs and 2 new lows; the Nasdaq Composite recorded 73 new highs and 103 new lows.
(Additional reporting by Arjun Panchadar and Agamoni Ghosh in Bengaluru; Editing by Shounak Dasgupta and Bill Berkrot)
This story has not been edited by Firstpost staff and is generated by auto-feed.
Find latest and upcoming tech gadgets online on Tech2 Gadgets. Get technology news, gadgets reviews & ratings. Popular gadgets including laptop, tablet and mobile specifications, features, prices, comparison.
(Reuters) - Budget airline easyJet on Wednesday reported a bigger loss for the first half as it took a 160-million-pound hit ($199 million) from failed fuel hedging as the COVID-19 pandemic brought global air travel to a virtual standstill. The London-listed company reported a pretax loss of 353 million pounds for the six months ended March 31 from a loss of 272 million pounds last year. Revenue rose 1.6%, though easyJet took a hit from strikes in France, and storms Ciara and Dennis.
FRANKFURT (Reuters) - Bayer AG on Wednesday said it agreed to settle U.S.
KHARTOUM (Reuters) - Sudan will create a trade financing fund with a portfolio of $2 billion to aid the import and export of key commodities such as wheat, the Finance Ministry said, as the supply of foreign currency in circulation dwindles. Sudan's economy is at risk of freefall, hammered by an inflation rate of more than 100% and frequent shortages of bread, fuel and medicine. The country's currency has also fallen to a record low of 150 Sudanese pounds to the dollar on the black market compared with 55 at the official rate