Wall Street gains as Fed officials strike dovish tone

New York, Oct 10 (BNA): Wall Street’s main indexes advanced on Tuesday as U.S. Treasury yields retreated following dovish comments from Federal Reserve policymakers overnight, though caution prevailed amid escalating tensions in the MENA region. 


The 10-year Treasury yield came off its 16-year peak on Tuesday, as trading resumed in the U.S. bond market after Columbus Day, also known as Indigenous Peoples’ Day, Reuters.


Top ranking Fed officials indicated rising yields on long-term U.S. Treasury bonds could steer the central bank from further increases in its short-term policy rate.


Traders put the chance of interest rates remaining unchanged in November and December at around 86% and 72%, respectively, according to CME’s FedWatch tool.


Focus will be on remarks from a slew of Fed officials including Minneapolis’ Neel Kashkari, San Francisco’s Mary Daly and Board Governor Christopher Waller during the day.


At 9:39 a.m. ET, the Dow Jones Industrial Average was up 38.01 points, or 0.11%, at 33,642.66, the S&P 500 was up 7.11 points, or 0.16%, at 4,342.77, and the Nasdaq Composite was up 24.71 points, or 0.18%, at 13,508.95.


Consumer staples and materials were the top gainers among major S&P 500 sectors, while information technology and real estate were the worst hit.


Among stocks, PepsiCo rose 1.1% after the company raised its annual profit forecast for a third time this year. Rival Coca-Cola was also up 1.9%.


Truist Financial gained 5.5% after a report said the bank is in talks to sell its insurance brokerage unit to private equity firm Stone Point for about $10 billion.

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Rivian Automotive advanced 4% after UBS upgraded the EV maker’s stock to “buy” from “neutral”.


Corning lost 1.1% after J.P.Morgan downgraded the specialty glass maker’s shares to “neutral” from “overweight”.


Chip firms Skyworks Solutions and Qorvo dipped 1.9% and 3%, respectively, after Citigroup downgraded the stocks.


Advancing issues outnumbered decliners for a 2.57-to-1 ratio on the NYSE and a 1.93-to-1 ratio on the Nasdaq.


The S&P index recorded four new 52-week highs and one new low, while the Nasdaq recorded 27 new highs and 86 new lows.

Y.R






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