|Day's Range||2,904.51 - 2,939.08|
|52 Week Range||2,346.58 - 3,027.98|
All eyes will be on Federal Reserve Chairman Jerome Powell Friday morning when he speaks at the Fed’s annual Jackson Hole Economic Policy Symposium.
Worries about future economic rough patches have been heating up in recent weeks, but there is a financial playbook for navigating the next recession.
Kansas City Fed President Esther George told Yahoo Finance that cutting interest rates is "not likely to resolve" uncertainty over trade.
Asian shares struggled to make headway on Friday as uncertainty over how much further the U.S. Federal Reserve would cut interest rates added to investors' worries over slowing global growth. With a trade war between the United States and China dragging on, and political tumult in Hong Kong, Italy and Britain adding to the tense backdrop, investors were keenly awaiting Fed Chair Jerome Powell's speech at a gathering of central bankers in Jackson Hole, Wyoming, later in the day (1400 GMT).
Stock futures: Fed chief Jerome Powell gives a key speech for the stock market Friday. Salesforce earnings as well as VMware deals to buy Pivotal and Carbon Black lifted software late.
China’s renminbi weakened to a new 11-year low on Friday while stock markets in Asia were in a holding pattern awaiting further pointers from a meeting of global central bankers. The onshore renminbi, ...
(Bloomberg) -- Stocks in Asia advanced on low volumes along with U.S. equity futures and Treasury yields as investors awaited Federal Reserve Chair Jerome Powell’s address at the Jackson Hole summit.Gains were modest across the region, with trading activity below average in Japan and South Korea. Futures on the S&P 500 Index ticked higher after U.S. shares closed flat amid weak volumes. Three Federal Reserve policy makers voiced their resistance to the notion that the U.S. economy needs lower interest rates, and a fourth saying he wanted to avoid taking further action “unless we have to.” The greenback edged higher, while crude oil rose. China’s offshore yuan weakened to 7.1 per dollar.Anticipation is building for Powell’s speech after a tumultuous August for markets amid concern over a slowing global economy and the escalating U.S.-China trade war. Investors have priced in a quarter percentage-point U.S. rate cut next month, but dissenting Fed voices may limit the prospects for the larger move that some have advocated, including President Donald Trump.“The markets want more than the Fed is going to give here,” Alicia Levine, chief strategist at Bank of New York Mellon Corp., told Bloomberg TV. “There is real disagreement within the FOMC about where the U.S. economy is, and particularly the fact that the data has been stronger than one would expect. There’s a setup for Powell to disappoint the market.”Elsewhere, the kiwi rose after New Zealand’s central bank governor said he could afford to wait before deciding whether to add more support for the economy. On Thursday, most euro-area government bonds fell as the European Central Bank expressed concern that investors were losing faith in its ability to revive inflation and after a gauge of German manufacturers reinforced recession concern.Here are some of the main moves in markets:StocksFutures on the S&P 500 rose 0.3% as of 12:04 p.m. in Tokyo. The underlying gauge was little changed on Thursday.Japan’s Topix index added 0.2%.Hong Kong’s Hang Seng rose 0.5%.The Shanghai Composite added 0.6%.Euro Stoxx 50 futures climbed 0.7%.CurrenciesThe yen was at 106.56 per dollar, down 0.1%.The offshore yuan was at 7.0992 per dollar.The Bloomberg Dollar Spot Index added 0.1%.The euro bought $1.1073, down 0.1%.The British pound was at $1.2239.BondsThe yield on 10-year Treasuries gained three basis points to 1.64%.Australia’s 10-year yield added six basis points to 0.97%.CommoditiesWest Texas Intermediate crude added 0.2% to $55.48 a barrel.Gold was at $1,495.63 an ounce, down 0.2%.\--With assistance from Rita Nazareth, Vildana Hajric and Caroline Hyde.To contact the reporter on this story: Adam Haigh in Sydney at email@example.comTo contact the editors responsible for this story: Christopher Anstey at firstname.lastname@example.org, Cormac Mullen, Joanna OssingerFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Asian shares struggled to make headway on Friday as uncertainty over how much further the U.S. Federal Reserve would cut interest rates added to investors' worries over slowing global growth. With a trade war between the United States and China dragging on, and political tumult in Hong Kong, Italy and Britain adding to the tense backdrop, investors were keenly awaiting Fed Chair Jerome Powell's speech at a gathering of central bankers in Jackson Hole, Wyoming, later in the day (1400 GMT). The Shanghai Composite and the blue-chip CSI300 were up 0.5% and 0.7%, respectively, while Hong Kong's Hang Seng gained 0.5%.
The Dow Jones Industrial Average rose slightly, and the S&P 500 and the Nasdaq Composite edged lower. Investors are waiting to hear from Federal Reserve Chairman Jerome Powell on Friday.
A rise in Boeing Co. stock helped to support the Dow index Thursday, but the broader market slipped after a survey showing the U.S. manufacturing sector contracting for the first time in a decade, and as a recessionary signal in the bond market flashed red.
The benchmark S&P 500 ended little changed on Thursday as a fall in U.S. jobless claims offset data showing a contraction in U.S. manufacturing activity while investors awaited Federal Reserve Chair Jerome Powell's speech on Friday for clues on the central bank's monetary policy. Data from the U.S. Labor Department showed initial claims for state unemployment benefits dropped more than expected last week, suggesting the labor market was holding firm despite a manufacturing slowdown and concerns the economy is on a path toward recession.
An index of stock markets worldwide crept lower on Thursday on uncertainty over the outlook for U.S. interest rate cuts and weak U.S. manufacturing data that raised concerns about the health of the world's largest economy. U.S. manufacturing industries in July recorded their first month of contraction in almost a decade amid concerns about whether the U.S.-China trade conflict would tip the economy into a recession, a private survey showed. "Manufacturing has been pretty weak across the globe for a while now and we are starting to see that bleed into the U.S.," said Joe Mallen, chief investment officer at Helios Quantitative Research.
The U.S. Federal Reserve is under pressure from President Donald Trump to cut interest rates. Investors expect the Fed to cut, perhaps by a lot. What's the holdup?Perhaps more than at any time in the last few years, the data flowing into the Fed isn't telling a clear story, partly because of contradictory signals - rising employment but slowing factory output, for example - but also because everything may be clouded by a trade war that shows no signs of ending.
(Bloomberg) -- U.S. stocks were mixed as a slide in technology companies offset a rally in bank shares. Treasuries dropped as Federal Reserve officials cast doubt on further interest-rate cuts.The S&P 500 Index closed little changed, while the Dow Jones Industrial Average outperformed as Boeing Co. surged. The Nasdaq-100 Index fell. Ten-year yields climbed after Philadelphia Fed President Patrick Harker told CNBC that he’s “on hold” right now for further monetary easing. His comments were in line with those of Kansas City counterpart Esther George, who said the U.S. doesn’t need lower rates. Fed Bank of Dallas President Robert Kaplan said that he wanted to be careful about cutting interest rates again “unless we have to.”Read: Fed’s Regional Presidents Lining Up Against Additional Rate CutsMarkets have been whipsawed amid concern over economic weakness, the path of interest rates and U.S.-China trade tension. Fed Chairman Jerome Powell could provide more guidance on policy when he speaks Friday at the annual Jackson Hole symposium. Investors have priced in a quarter percentage-point rate cut next month, but dissenting Fed voices may limit the prospects for the larger move that some have advocated, including President Donald Trump.“The big question mark is just going to be Jackson Hole -- what’s Powell going to say?” said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance. “You’re seeing the market going higher and lower this week heading into tomorrow, where we could get some market-moving commentary out of Powell’s speech.”Elsewhere, most euro-area government bonds fell as the European Central Bank expressed concern that investors were losing faith in its ability to revive inflation and after a measure of German manufacturers reinforced recession concern. The British pound jumped as investors seized on hints from European leaders that a Brexit deal could still be reached.Here are some notable events coming up:Fed Chairman Jerome Powell speaks at the central bank’s symposium in Jackson Hole, Wyoming, Friday.Here are some of the main moves in markets:StocksThe S&P 500 was little changed at 2,922.95 at 4 p.m. in New York.The Stoxx Europe 600 Index declined 0.4%.The MSCI Asia Pacific Index fell 0.4%.The MSCI Emerging Market Index dipped 0.8%.CurrenciesThe Bloomberg Dollar Spot Index was little changed.The euro was little changed at $1.1081.The British pound climbed 1% to $1.2256.The Japanese yen strengthened 0.2% to 106.40 per dollar.BondsThe yield on 10-year Treasuries increased two basis points to 1.61%.Germany’s 10-year yield gained three basis points to -0.64%.Britain’s 10-year yield rose four basis points to 0.517%.CommoditiesThe Bloomberg Commodity Index dropped 0.5%.West Texas Intermediate crude fell 0.6% to $55.35 a barrel.Gold dipped 0.5% to $1,508.50 an ounce.\--With assistance from David Wilson, Paul Allen, Adam Haigh, Yakob Peterseil, Todd White and Sarah Ponczek.To contact the reporters on this story: Rita Nazareth in New York at email@example.com;Vildana Hajric in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Jeremy Herron at email@example.com, Rita NazarethFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Everyone’s freaking out about paltry profit growth, but a few statistics shows that this year doesn’t quite qualify as a disaster in the U.S.If you just threw a dart at a list of S&P 500 companies, for instance, you’d still be twice as likely to hit one that saw earnings rise in the second quarter than fall. Yes, the share-weighted average growth rate was depressing -- 2.1% -- but framing it as a recession is a little overbaked.The dart experiment is a translation of an indicator tracked by Bloomberg Intelligence called “earnings breadth,” plotting companies with rising versus falling income in any given quarter. At 67.7%, the percentage ticked up from 66.9% in the prior quarter, the first sequential increase in a year. More than 95% of S&P companies have reported quarterly results.“Signs of bottoming in our measure could signal a rosier outlook for stock prices and earnings trends,” said Gina Martin Adams, chief equity strategist at Bloomberg Intelligence. “The percentage of companies with higher year-over-year EPS has been a leading indicator of price peaks and tends to confirm lows.”Most analysts measure the health of S&P 500’s earnings by share-weighted profit growth, but earnings breadth has a good record in pointing to market tops and bottoms. Two months before the S&P 500 posted an all-time high in September 2018, the indicator climbed to 88%, Bloomberg Intelligence data showed. Breadth hit a low of 54.1% in December 2015, two months before stocks bottomed in February 2016.Of course, an uptick in earnings breadth doesn’t guarantee the worst is over. Analysts expect to see a 2.7% profit drop in the third quarter before earnings return to growth in the fourth quarter. Overall, they expect a 2.7% earnings growth this year and anticipate a 10% expansion in 2020 and 2021.To contact the reporter on this story: Elena Popina in New York at firstname.lastname@example.orgTo contact the editors responsible for this story: Brad Olesen at email@example.com, Chris Nagi, Jeremy HerronFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
U.S. stocks struggled for direction on Thursday as Boeing's rally pulled the Dow back into positive territory. Investors stayed focused on the Federal Reserve's annual symposium in Jackson Hole, Wyo., where investors are hoping Fed Chairman Jerome Powell on Friday will confirm expectations for a September rate cut. The S&P 500 was down less than 0.1% to finish near 2,923. The Dow Jones Industrial Average advanced 51 points, or 0.2%, to end around 26,254, based on preliminary numbers The Nasdaq Composite fell 0.4% to close near 7,991. Shares for Boeing climbed after an analyst said Federal Aviation Administration certification for its grounded 737 MAX plane could be a few weeks away. At the same time, investors were rattled after the IHS Markit purchasing manager's index for the U.S. manufacturing sector signaled a mild contraction in activity. Adding to the jitters, Kansas City Fed President Esther George and Philadelphia Fed President Patrick Harker both said there wasn't a strong case for further easing of monetary policy.