Stock market today: US stocks tread water after S&P 500's record close


US stocks held steady on Wednesday after a record S&P 500 close, with investors eyeing fresh economic data and Federal Reserve minutes for pointers to rate cuts in a holiday-shortened session.

The S&P 500 (^GSPC) traded flat after the benchmark ended Tuesday above 5,500 for the first time. The tech-heavy Nasdaq Composite (^IXIC) was also little changed, while the Dow Jones Industrial Average (^DJI) edged up 0.2%.

Stocks were muted ahead of an early close (1 p.m. ET) to trading on Wednesday and also ahead of the stock market’s shutdown on Thursday to mark the Independence Day holiday.

The S&P 500 and Nasdaq Composite hit fresh record closes after Jerome Powell touted progress on cooling inflation. That cemented hopes for an interest-rate cut even as the Fed chair once again signaled a lack of urgency to act. Traders are pricing in 65% odds of a move lower in September, according to CME’s FedWatch tool.

Meanwhile, job creation slowed for a third straight month with the US adding just 150,000 new private sector jobs in June, below the 165,000 Wall Street had expected. Pay gains for both job stayers and job changers also slowed.

The data comes just ahead of the key June jobs report release on Friday. Also on deck are data on services activity and factory orders, watched for further signs of economic slowing that could prompt policymakers to act.

In corporates, Paramount Global (PARA) shares climbed about 8% in early trading on reports Skydance Media has reached a deal that gives it a controlling stake in the entertainment giant.

Meanwhile, Tesla (TSLA) shares rose more than 2% on the heels of a 10% surge Tuesday after the EV maker posted deliveries that beat Wall Street estimates.

Live2 updates

  • dims?image uri=https%3A%2F%2Fo.aolcdn.com%2Fimages%2Fdims%3Fimage uri%3Dhttps%253A%252F%252Fo.aolcdn.com%252Fimages%252Fdims%253Fimage uri%253Dhttps%25253A%25252F%25252Fo.aolcdn.com%25252Fimages%25252Fdims%25253Fimage uri%25253Dhttps%2525253A%2525252F%2525252Fs.yimg

    S&P 500, Nasdaq open flat

    US stocks traded mostly flat on Wednesday ahead of an early close (1 p.m. ET) to trading and a market shutdown on Thursday.

    The S&P 500 (^GSPC) hugged the flatline after the benchmark ended Tuesday above 5,500 for the first time. The tech-heavy Nasdaq Composite (^IXIC) was also little changed, while the Dow Jones Industrial Average (^DJI) edged up 0.2%.

  • dims?image uri=https%3A%2F%2Fs.yimg

    Why Tesla’s stock hasn’t fallen like a rock in water

    Tesla’s (TSLA) delivery numbers were bad.

    Yet, the stock rallied 10% on Tuesday as the figures were above estimates. The stock is up another 3.5% in the pre-market.

    Head-scratching!

    I think Guggenheim analyst Ron Jewsikow — who continues to be super bearish on Tesla — nicely explains what we are seeing in the Tesla action:

    “Looking ahead – production cuts, share losses in China and tariffs in Europe all set a negative backdrop for deliveries in the second half. That said, the prevailing sentiment in our conversations with investors is a lack of desire to be short ahead of the robotaxi event. The focus now shifts to 2Q EPS, full self driving take rate details and the 8/8 robotaxi event.”



Source link

About The Author

Scroll to Top