U.S. Stocks Tick Higher, Extending Gains
September 11 2019 - 10:18AM
Dow Jones News
By Anna Isaac
U.S. stocks wobbled around the flatline Wednesday, threatening
to snap the Dow Jones Industrial Average's recent streak of
gains.
The blue-chip index edged up 46 points, or 0.2%, to 26955. The
S&P 500 ticked up 0.1%, and the Nasdaq Composite advanced
0.2%.
With not much economic data on the docket for Wednesday, markets
moves were relatively muted. Investors are looking ahead to central
bank meetings in the coming days when the European Central Bank and
Federal Reserve are expected to cut interest rates.
Earnings-related news drove swings among individual stocks, with
Dave & Buster's Entertainment sliding 9% after cutting its
guidance for the full year.
GameStop tumbled 22% after reporting a loss for the most recent
quarter and giving a downbeat forecast for the full year.
Elsewhere, markets in Europe and Asia were mostly higher. The
Stoxx Europe 600 rose 0.5% and South Korea's Kospi added 0.8% after
strong jobs data.
Shares of London Stock Exchange Group gained 5.6% after Hong
Kong Exchanges & Clearing made an offer to buy it in a $36.56
billion cash-and-share deal.
Investors have shown signs in recent days of expecting less
stimulus from the ECB when it meets Thursday.
"Ahead of the ECB meeting investors seemed to take some chips
off the table with aggressive expectations being pared back," said
Antoine Bouvet, senior rates strategist at ING Bank in a note.
Still, investors are mostly expecting lower interest rates from
the ECB and from the Fed when the U.S. central bank meets next
week. On Wednesday, President Trump called again for looser policy,
when he tweeted, "The Federal Reserve should get our interest rates
down to ZERO, or less, and we should then start to refinance our
debt."
Expectations of lower rates helped markets climb at the start of
the year, though stocks have pared some of their gains since
then.
Government bond prices weakened, with the yield on the 10-year
U.S. Treasury note rising to 1.732% from 1.706% on Tuesday after
data showed producer prices rose more than expected in August.
Inflation tends to hurt government bond prices, since it chips
away at the value of bonds' fixed payouts.
Akane Otani contributed to this article
Write to Anna Isaac at anna.isaac@wsj.com
(END) Dow Jones Newswires
September 11, 2019 10:03 ET (14:03 GMT)
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