Interest rate jitters cast pall over US stocks
US markets finished a choppy session mostly lower on Tuesday as worries about higher Treasury bond yields offset investor appetite to keep buying equities. "Today, it's a sober mindset," said Interactive Brokers strategist Steve Sosnick, adding that Monday's rally in tech shares was probably "overenthusiastic" in light of rising bond yields. The Nasdaq Composite Index still mustered a 0.1 percent gain to finish at 13,505. The Dow Jones Industrial Average fell 0.5 percent to 34,288, and the S&P 500 dropped 0.3 percent to 4,387. Stocks have been under pressure in August, most recently due to a spike in Treasury bond yields to multi-year peaks amid expectations that interest rates will stay higher for longer. Markets are looking ahead to an address on Friday by Federal Reserve Chair Jerome Powell for clues on future monetary policy. Powell "likely will continue to emphasize the Fed's laser-focus on taming inflation, even with the central bank's benchmark funds rate already at the highest level in 22 years," said a note from Charles Schwab. Sales of homes in the United States ticked down in July, according to industry data, as elevated mortgage rates and limited housing supply held buyers back. Existing home sales edged down 2.2 percent last month to an annual rate of 4.1 million, seasonally adjusted, said the National Association of Realtors. Among retailers reporting results, Lowe's jumped 3.8 percent, but Macy's fell 14.1 percent and Dick's Sporting Goods slumped 24.1 percent. (AFP)_____________________________
Last updated: 2023-08-23 HKT 05:25 