logo
Share SHARE
FONT-SIZE Plus   Neg

Major Averages Turn Mixed In Mid-Day Trading - U.S. Commentary

wallstreet-111914_02Oct17.jpg

After moving to the upside early in the session, stocks have turned mixed over the course of the trading session on Monday. The major averages reached record highs early in the session, although the Nasdaq has recently pulled back into negative territory.

Currently, the major averages are on opposite sides of the unchanged line. While the Nasdaq down 10.32 points or 0.2 percent at 6,485.64, the Dow is up 77.46 points or 0.4 percent at 22,482.55 and the S&P 500 is up 3.08 points or 0.1 percent at 2,522.44.

The mixed performance on Wall Street comes following the releasing of a report from the Institute for Supply Management showing an unexpected acceleration in the rate of growth in manufacturing activity in the month of September.

The ISM said its purchasing managers index climbed to 60.8 in September from 58.8 in August, with a reading above 50 indicating growth in the manufacturing sector. Economists had expected the index to dip to 50.8.

"Comments from the panel reflect expanding business conditions, with new orders, production, employment, order backlogs and export orders all growing in September," said Timothy R. Fiore, Chair of the ISM Manufacturing Business Survey Committee.

A separate report released by the Commerce Department showed construction spending in the U.S. increased by more than expected in the month of August.

The Commerce Department said construction spending climbed 0.5 percent to $1.218 trillion in August after plunging by 1.2 percent to $1.212 trillion in July. Economists had expected spending to rise by 0.2 percent.

However, news on Wall Street has largely taken a backseat following a mass shooting in Las Vegas, which has left more than 50 dead and more than 500 wounded.

Most of the major sectors are showing only modest moves on the day, contributing to the lackluster performance by the broader markets.

While steel stocks continue to see considerable strength, oil service and railroad stocks have shown notable moves to the downside.

In overseas trading, stock markets across the Asia-Pacific region moved to the upside during trading on Monday. Japan's Nikkei 225 Index rose by 0.2 percent, while Hong Kong's Hang Seng Index climbed by 0.5 percent.

The major European markets also moved to the upside on the day. While the U.K.'s FTSE 100 Index jumped by 0.9 percent, the German DAX Index and the French CAC 40 Index climbed by 0.6 percent and 0.4 percent.

In the bond market, treasuries have fluctuated over the course of the morning and are currently lingering near the unchanged line. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is up by less than a basis point at 2.330 percent.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

comments powered by Disqus
Follow RTT