🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

US STOCKS-Wall St edges higher as Fed's Powell testifies before Congress

Published 13/11/2019, 18:17
© Reuters.  US STOCKS-Wall St edges higher as Fed's Powell testifies before Congress
US500
-
DJI
-
IXIC
-
SPSY
-
SPLRCU
-
SPLRCS
-
SDCCQ
-

(For a live blog on the U.S. stock market, click LIVE/ or

type LIVE/ in a news window)

* Powell says 'sustained expansion' likely for U.S. economy

* Alibaba slips on planned $13.4 bln Hong Kong listing

* Indexes up: Dow 0.14%, S&P 0.10%, Nasdaq 0.04%

(Changes comment, updates market action)

By Arjun Panchadar

Nov 13 (Reuters) - Wall Street's main indexes turned

slightly higher on Wednesday as Federal Reserve Chair Jerome

Powell said the central bank saw a "sustained expansion" ahead

for the U.S. economy.

His comments are widely watched as the Fed lowered borrowing

costs three times this year to cushion the world's largest

economy from a global slowdown.

Powell added that the full impact of the interest rate cuts

were yet to be felt, as he testified before the Congress.

Meanwhile, data showed U.S. consumer prices rebounded more

than expected in October and underlying inflation picked up. "It looks like not a lot of action today ... inflation still

seems to be in check and the Fed does not seem to concerned

about it," said Jeff Kravetz, regional investment director, U.S.

Bank Private Wealth Management.

Five of the 11 major S&P 500 sectors were higher led by

gains in defensive names such as utilities .SPLRCU , real

estate .SPLRCR and consumer staples .SPLRCS , indicating

investor caution.

Impeachment inquiries on U.S. President Donald Trump as well

as geopolitical tensions such as the escalating anti-government

protests in Hong Kong are factors that investors are keeping a

close eye on.

The benchmark S&P 500 .SPX and Nasdaq .IXIC hit all-time

highs on Tuesday, but pulled back slightly after Trump dangled

the prospect of completing an initial trade deal with China

"soon," but offered no new details on negotiations. The three major U.S. stock indexes have had a strong start

to this month on the back of a strong corporate earnings season

and hopes of a trade deal.

"We are coming to a critical time ... as we get to the end

of the year, trade tensions may spill over to the consumer side

which may have a more dire effect on the economy and the

markets," Kravetz said.

At 11:45 a.m. ET the Dow Jones Industrial Average .DJI

was up 37.96 points, or 0.14%, at 27,729.45, the S&P 500 .SPX

was up 3.04 points, or 0.10%, at 3,094.88 and the Nasdaq

Composite .IXIC was up 3.77 points, or 0.04%, at 8,489.86.

However, the financial sector .SPSY fell 0.40%, tracking a

drop in benchmark 10-year U.S. Treasury yields and weighed the

most on the S&P 500 index. US/

Shares of Alibaba Group Holding Ltd BABA.N slipped 2.6% as

the Chinese e-commerce giant revealed plans to launch a Hong

Kong share sale to raise up to $13.4 billion. SmileDirectClub Inc SDC.O slumped about 19% as the teeth

alignment company posted a bigger quarterly loss and pointed

towards more losses for the year. Declining issues outnumbered advancers for a 1.20-to-1 ratio

on the NYSE and a 1.44-to-1 ratio on the Nasdaq.

The S&P index recorded 17 new 52-week highs and one new low,

while the Nasdaq recorded 53 new highs and 88 new lows.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2024 - Fusion Media Limited. All Rights Reserved.