U.S. stocks were mixed on Wednesday after markets hit their latest all-time high as investors awaited upcoming data for clues on the economy’s health and the chances of another jumbo rate cut.
The Dow Jones Industrial Average (^DJI) shed 0.4% after earlier gains, while the S&P 500 (^GSPC) maintained positive momentum, with both major indexes up 0.1%. The tech-heavy Nasdaq Composite ( ^IXIC ) rose about 0.4% after initially opening in the red.
With a surprisingly weak reading in consumer confidence, the question now is whether or not the US economy could find itself in a recession. There is debate over whether the Federal Reserve cut rates by a larger-than-usual 0.5% in response to the sluggish economy and what further easing means for another promising deep cut.
Read More: What Fed Cuts Mean for Bank Accounts, CDs, Loans and Credit Cards
On the data front, new home sales Rejected in August That follows a sharp increase from a month ago, as very high mortgage rates and high prices kept buyers largely on the sidelines.
However, mortgage applications rose to their highest level since 2022, according to MBA data released before Bell. The growth was driven by homeowners seeking to refinance loans as rates fell.
But Thursday’s second-quarter GDP print and Friday’s key reading on the PCE index — the central bank’s preferred inflation rate — are drawing attention.
The parade of Fed speakers continues with Governor Adriana Kugler, whose remarks will be scrutinized for insight into the size and pace of upcoming rate cuts when she appears later Wednesday.
Meanwhile, the boost to markets from China’s big stimulus release has faded amid doubts about whether steps to turn around its economy will be successful.
long live3 updates
2024-09-25 19:53:42