(Sharecast News) - Major indices closed lower on Tuesday, as traders awaited this week's Federal Reserve decision and another jump in Treasury yields weighed on sentiment.
At the close, the Dow Jones Industrial Average was down 0.63% at 52,039.11, while the S&P 500 shed 0.45% to 7,585.73 and the Nasdaq Composite saw out the session 0.78% softer at 25,981.57.
The Dow closed 328.09 points lower on Tuesday, extending losses recorded in the previous session.
Bond yields were in focus on Tuesday as the yield on the 10year note briefly climbed to 5.041%, its highest level since 2007, extending a global bond selloff driven by concerns that the USIran conflict will stoke inflation and force central banks into a more hawkish stance. By the close, the 10-year note was up almpost two basis points at 5.006%.
Oil prices also pushed higher after Saudi Arabia shut a key pipeline that bypasses the Strait of Hormuz, with Brent trading 2.63% higher at $108.46 a barrel and West Texas Intermediate up 4.08% at $105.53 a barrel. Rising crude and surging yields will undoubtedly keep focus firmly on tomorrow's Fed meeting, where futures imply a 92% chance of a quarterpoint rate hike from the central bank's current target rate of 3.5% to 3.75%.
Elsewhere, Treasury Secretary Scott Bessent testified before the House Financial Services Committee on Tuesday, with inflation, energy prices and the economic fallout from the Iran war dominating questioning. "The strength of our economy has allowed the United States to wage the greatest economic isolation campaign in the history of the world against the Islamic Republic of Iran and its enablers," Bessent told the committee.
On the macro front, September's NY Empire State manufacturing index decreased to 7.60 points, according to the Federal Reserve Bank of New York, down from 20.60 points in August but remaining in positive territory. New orders edged up and unfilled orders increased, while shipments dipped slightly, delivery times lengthened sharply and supply availability worsened again, pointing to continued pressure on input sourcing. Inventories also moved higher.
Firms remained broadly upbeat about the outlook, with the future business conditions index printing at 29.0, as respondents said they were expecting gains in orders, shipments and employment over the coming months. Supply availability, on the other hand, was anticipated to deteriorate further, while price increases were expected to remain elevated.
Reporting by Iain Gilbert at Sharecast.com
Dow Jones - Risers
Dow Chemical Co. (DOW) $29.85 3.29%
Chevron Corp. (CVX) $217.77 2.64%
Intel Corp. (INTC) $97.14 2.45%
3M Co. (MMM) $164.67 1.64%
JP Morgan Chase & Co. (JPM) $352.49 0.67%
Procter & Gamble Co. (PG) $146.67 0.37%
Johnson & Johnson (JNJ) $267.20 0.33%
Verizon Communications Inc. (VZ) $51.45 0.31%
Visa Inc. (V) $375.62 0.09%
Cisco Systems Inc. (CSCO) $110.07 0.01%
Dow Jones - Fallers
Nike Inc. (NKE) $36.22 -2.24%
Walt Disney Co. (DIS) $106.42 -2.00%
Unitedhealth Group Inc. (UNH) $375.93 -1.99%
McDonald's Corp. (MCD) $252.78 -1.83%
Home Depot Inc. (HD) $305.48 -1.73%
Amgen Inc. (AMGN) $375.65 -1.67%
Salesforce.Com Inc. (CRM) $255.65 -1.46%
Goldman Sachs Group Inc. (GS) $976.67 -1.19%
American Express Co. (AXP) $324.43 -1.02%
Merck & Co. Inc. (MRK) $143.79 -0.73%
S&P 500 - Risers
Revvity, Inc. (RVTY) $140.19 9.11%
Illumina Inc. (ILMN) $222.29 8.28%
QUALCOMM Inc. (QCOM) $187.80 7.84%
Fortinet Inc. (FTNT) $172.37 7.22%
Celanese Corp. (CE) $47.22 5.45%
Skyworks Solutions Inc. (SWKS) $90.00 5.21%
F5 Inc. (FFIV) $430.88 5.11%
HF Sinclair Corporation (DINO) $112.25 4.99%
Thermo Fisher Scientific Inc. (TMO) $641.39 4.53%
Advanced Micro Devices Inc. (AMD) $504.20 4.28%
S&P 500 - Fallers
Coterra Energy Inc. (CTRA) $32.56 -8.62%
Jack Henry & Associates Inc. (JKHY) $154.07 -7.66%
DENTSPLY Sirona Inc. (XRAY) $9.83 -6.82%
Bath & Body Works, Inc. (BBWI) $16.72 -6.64%
Chipotle Mexican Grill Inc. (CMG) $34.83 -5.94%
Synopsys Inc. (SNPS) $367.70 -5.83%
Booking Holdings Inc. (BKNG) $171.32 -5.50%
Mattel Inc. (MAT) $13.42 -5.36%
Dollar Tree Inc (DLTR) $112.79 -5.15%
Kohls Corp. (KSS) $16.36 -4.72%
Nasdaq 100 - Risers
Illumina Inc. (ILMN) $222.29 8.28%
QUALCOMM Inc. (QCOM) $187.80 7.84%
Skyworks Solutions Inc. (SWKS) $90.00 5.21%
Meta Platforms Inc. (META) $670.24 2.47%
Intel Corp. (INTC) $97.14 2.45%
NetEase Inc. Ads (NTES) $119.49 2.32%
Micron Technology Inc. (MU) $927.60 2.21%
J.B. Hunt Transport Services Inc. (JBHT) $273.05 2.20%
Texas Instruments Inc (TXN) $263.43 2.03%
Marriott International - Class A (MAR) $337.24 1.43%
Nasdaq 100 - Fallers
Qvc Group Inc Series A (QVCGA) $0.34 -13.49%
DENTSPLY Sirona Inc. (XRAY) $9.83 -6.82%
Synopsys Inc. (SNPS) $367.70 -5.83%
Booking Holdings Inc. (BKNG) $171.32 -5.50%
Dollar Tree Inc (DLTR) $112.79 -5.15%
Charter Communications Inc. (CHTR) $141.20 -4.38%
Comcast Corp. (CMCSA) $24.42 -3.86%
Cadence Design Systems Inc. (CDNS) $273.96 -3.71%
Align Technology Inc. (ALGN) $147.00 -3.41%
Biomarin Pharmaceutical Inc. (BMRN) $64.45 -3.14%
39.44 (0.37%)
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