US Stocks Mixed as Tech Gains Offset Chip Weakness and Fed Uncertainty
The US stock market showed mixed results as investors weighed strong tech performance against rising bond yields and Fed rate uncertainty. The Dow Jones lost 282.82 points, or 0.55%, closing at 50,894.14, while the Nasdaq gained 148.27 points, or 0.55%, ending at 27,339.13. The S&P 500 edged up 9.26 points, or 0.12%, to 7,731.98.
Technology stocks, particularly Nvidia and Microsoft, drove gains in the Nasdaq, with Nvidia rising 1.5% and trading near an all-time high. However, chip stocks like Intel and GlobalFoundries fell sharply, reflecting broader weakness in the semiconductor sector. The US 10-year Treasury yield remained above 5.3%, adding pressure on growth stocks.
Investors are closely watching the Federal Reserve’s September meeting minutes, expected Wednesday, for clues on future rate hikes. Current market expectations suggest an 80% chance rates will stay unchanged in October, with focus shifting to December. Other key factors include geopolitical tensions affecting oil prices and upcoming economic data on jobs and inflation.
Gold saw modest gains, supported by US debt concerns and easing rate hike bets, but a stronger dollar limited its upside. Oil prices fluctuated amid Middle East tensions, with Brent crude and WTI both showing volatility. The DXY Dollar Index rose 0.42%, while the euro fell 0.59% against the dollar.