US stocks close mixed but Dow hits new record
Wall Street had a mixed showing on Thursday with the Dow reaching a fresh record after economic data indicating stronger second quarter GDP growth than initially estimated. The Dow Jones jumped by 0.6 percent to 41,335, while the S&P 500 was flat at 5,591. The Nasdaq slipped 0.2 percent to 17,516. The movements came on the back of data indicating the US economy grew at an annual rate of 3.0 percent in the April to June period – revised upwards from 2.8 percent. Consumer spending provided a boost, said the Commerce Department. The report, coupled with a stabilisation in initial jobless claims, brought some relief to markets. Initial claims slipped by 2,000 in the week ending August 24, indicating that layoffs remain low, said Oxford Economics in a note. Thursday's record came despite a 6.4 percent slide in chip giant Nvidia's shares. While the AI behemoth reported quarterly sales that beat expectations on Wednesday, investors showed nervousness that the company's growth might be showing signs of normalisation. Ahead of Nvidia's earnings report, its share price was up about 160 percent year-to-date and has accounted for a third of the S&P 500's gains this year. On Friday, traders will be eyeing the Federal Reserve's preferred inflation gauge ahead of a widely anticipated start to interest rate cuts next month. (AFP)