Global Stock Markets Rally as Interest Rate Concerns Ease

Stock market today: Asian markets surge higher after Wall Street takes a breather

Shares rolled higher in Asia on Thursday after U.S. stocks edged back from their records. Japan's Nikkei 225 index gained more than 2% and U.S. futures and oil prices also advanced. The rally in Asia followed an announcement that the Chinese government plans to give cash handouts or discount vouchers to the poor ahead of next week's National Day holidays. Such direct payments are unusual for China, but appear designed to address a weak point for the economy -- faltering consumer spending. A notice on the WeChat social media account of the Ministry of Civil Affairs said authorities would "issue a one-time living allowance to the extremely poor, orphans and other needy people on the occasion of the 75th anniversary of the founding of New China," which is marked on Oct. 1, next Tuesday. Hong Kong's Hang Seng climbed 1.7% to 19,461.25 and the Shanghai Composite index added 0.6% to 2,914.19. The Nikkei in Tokyo advanced 2.5% to 38,812.94. South Korea's Kospi jumped 2.1%, to 2,649.51, after semiconductor maker SK Hynix launched production of a new memory chip for artificial intelligence. SK Hynix shares jumped 8.8%. The Dow Jones Industrial Average dropped 0.7% to 41,914.75 after likewise setting a record the day before. The Nasdaq composite edged up by less than 0.1%, to 18,082.21. Treasury yields ticked higher in the bond market after sinking the prior day on a surprisingly weak update on confidence among U.S. consumers. The worst drop in three years raised worries about the U.S. economy's strength, but it also raised expectations for the Federal Reserve to deliver another dose of bigger-than-usual relief through a big cut to interest rates at its next meeting. On Wall Street, Stitch Fix tumbled 39.5% after the online fashion styling service said its revenue in the current quarter could be 15% to 17% weaker than a year earlier. Its stock has dropped below $3 from $100 early in the pandemic. KB Home fell 45.4% after reporting profit for the latest quarter that was just shy of analysts' expectations. The homebuilder, though, said orders picked up in August as mortgage rates came down. Sales of new homes across the country slowed in August, but not by as much as economists feared, according to a report released Wednesday. The next date on the calendar circled for a potentially big market move is next week's monthly update on the U.S. job market. Investors are concerned over slowing hiring now that inflation has eased significantly from its peak two summers ago. The number of layoffs remains relatively low, but U.S. employers are also more hesitant to hire. The Fed kept its main interest rate at a two-decade high for more than a year in hopes of slowing the U.S. economy enough to stifle inflation. Last week, it swung toward protecting the job market by cutting the federal funds rate by a larger-than-usual half of a percentage point. Critics say it may be moving too late. Trump Media & Technology Group jumped 10.5% for its first back-to-back gain in two weeks. The stock had been struggling amid speculation about whether former President Donald Trump would sell some of his shares in the company behind the Truth Social network, now that he is free to do so. In other dealings early Thursday, benchmark U.S. crude oil picked up 6 cents to $69.75 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, was up 14 cents at $73.04 per barrel. The U.S. dollar rose to 144.83 Japanese yen from 144.76 yen. The euro was trading at $1.1142, up from $1.1133.

Stock market today: Asian markets surge higher after Wall Street takes a breather

Shares are higher in Asia after U.S. stocks edged back from their records Shares rolled higher in Asia on Thursday after U.S. stocks edged back from their records. Japan's Nikkei 225 index gained more than 2% and U.S. futures and oil prices also advanced. The rally in Asia followed an announcement that the Chinese government plans to give cash handouts or discount vouchers to the poor ahead of next week's National Day holidays. Such direct payments are unusual for China, but appear designed to address a weak point for the economy -- faltering consumer spending. A notice on the WeChat social media account of the Ministry of Civil Affairs said authorities would "issue a one-time living allowance to the extremely poor, orphans and other needy people on the occasion of the 75th anniversary of the founding of New China," which is marked on Oct. 1, next Tuesday. Hong Kong's Hang Seng climbed 1.7% to 19,461.25 and the Shanghai Composite index added 0.6% to 2,914.19. The Nikkei in Tokyo advanced 2.5% to 38,812.94. South Korea's Kospi jumped 2.1%, to 2,649.51, after semiconductor maker SK Hynix launched production of a new memory chip for artificial intelligence. SK Hynix shares jumped 8.8%. The Dow Jones Industrial Average dropped 0.7% to 41,914.75 after likewise setting a record the day before. The Nasdaq composite edged up by less than 0.1%, to 18,082.21. Treasury yields ticked higher in the bond market after sinking the prior day on a surprisingly weak update on confidence among U.S. consumers. The worst drop in three years raised worries about the U.S. economy's strength, but it also raised expectations for the Federal Reserve to deliver another dose of bigger-than-usual relief through a big cut to interest rates at its next meeting. On Wall Street, Stitch Fix tumbled 39.5% after the online fashion styling service said its revenue in the current quarter could be 15% to 17% weaker than a year earlier. Its stock has dropped below $3 from $100 early in the pandemic. KB Home fell 45.4% after reporting profit for the latest quarter that was just shy of analysts' expectations. The homebuilder, though, said orders picked up in August as mortgage rates came down. Sales of new homes across the country slowed in August, but not by as much as economists feared, according to a report released Wednesday. The next date on the calendar circled for a potentially big market move is next week's monthly update on the U.S. job market. Investors are concerned over slowing hiring now that inflation has eased significantly from its peak two summers ago. The number of layoffs remains relatively low, but U.S. employers are also more hesitant to hire. The Fed kept its main interest rate at a two-decade high for more than a year in hopes of slowing the U.S. economy enough to stifle inflation. Last week, it swung toward protecting the job market by cutting the federal funds rate by a larger-than-usual half of a percentage point. Critics say it may be moving too late. Trump Media & Technology Group jumped 10.5% for its first back-to-back gain in two weeks. The stock had been struggling amid speculation about whether former President Donald Trump would sell some of his shares in the company behind the Truth Social network, now that he is free to do so. In other dealings early Thursday, benchmark U.S. crude oil picked up 6 cents to $69.75 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, was up 14 cents at $73.04 per barrel. The U.S. dollar rose to 144.83 Japanese yen from 144.76 yen. The euro was trading at $1.1142, up from $1.1133.

Stock Market Today: Asian Markets Surge Higher After Wall Street Takes a Breather

Shares rolled higher in Asia on Thursday after U.S. stocks edged back from their records. Japan's Nikkei 225 index gained more than 2% and U.S. futures and oil prices also advanced. The rally in Asia followed an announcement that the Chinese government plans to give cash handouts or discount vouchers to the poor ahead of next week's National Day holidays. Such direct payments are unusual for China, but appear designed to address a weak point for the economy -- faltering consumer spending. A notice on the WeChat social media account of the Ministry of Civil Affairs said authorities would "issue a one-time living allowance to the extremely poor, orphans and other needy people on the occasion of the 75th anniversary of the founding of New China," which is marked on Oct. 1, next Tuesday. Hong Kong's Hang Seng climbed 1.7% to 19,461.25 and the Shanghai Composite index added 0.6% to 2,914.19. The Nikkei in Tokyo advanced 2.5% to 38,812.94. South Korea's Kospi jumped 2.1%, to 2,649.51, after semiconductor maker SK Hynix launched production of a new memory chip for artificial intelligence. SK Hynix shares jumped 8.8%. The Dow Jones Industrial Average dropped 0.7% to 41,914.75 after likewise setting a record the day before. The Nasdaq composite edged up by less than 0.1%, to 18,082.21. Treasury yields ticked higher in the bond market after sinking the prior day on a surprisingly weak update on confidence among U.S. consumers. The worst drop in three years raised worries about the U.S. economy's strength, but it also raised expectations for the Federal Reserve to deliver another dose of bigger-than-usual relief through a big cut to interest rates at its next meeting. On Wall Street, Stitch Fix tumbled 39.5% after the online fashion styling service said its revenue in the current quarter could be 15% to 17% weaker than a year earlier. Its stock has dropped below $3 from $100 early in the pandemic. KB Home fell 45.4% after reporting profit for the latest quarter that was just shy of analysts' expectations. The homebuilder, though, said orders picked up in August as mortgage rates came down. Sales of new homes across the country slowed in August, but not by as much as economists feared, according to a report released Wednesday. The next date on the calendar circled for a potentially big market move is next week's monthly update on the U.S. job market. Investors are concerned over slowing hiring now that inflation has eased significantly from its peak two summers ago. The number of layoffs remains relatively low, but U.S. employers are also more hesitant to hire. The Fed kept its main interest rate at a two-decade high for more than a year in hopes of slowing the U.S. economy enough to stifle inflation. Last week, it swung toward protecting the job market by cutting the federal funds rate by a larger-than-usual half of a percentage point. Critics say it may be moving too late. Trump Media & Technology Group jumped 10.5% for its first back-to-back gain in two weeks. The stock had been struggling amid speculation about whether former President Donald Trump would sell some of his shares in the company behind the Truth Social network, now that he is free to do so. In other dealings early Thursday, benchmark U.S. crude oil picked up 6 cents to $69.75 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, was up 14 cents at $73.04 per barrel. The U.S. dollar rose to 144.83 Japanese yen from 144.76 yen. The euro was trading at $1.1142, up from $1.1133. Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Stock market today: Asian markets surge higher after Wall Street takes a breather

Shares rolled higher in Asia on Thursday after U.S. stocks edged back from their records. Japan's Nikkei 225 index gained more than 2% and U.S. futures and oil prices also advanced. The rally in Asia followed an announcement that the Chinese government plans to give cash handouts or discount vouchers to the poor ahead of next week's National Day holidays. While subsidies to ordinary people are uncommon, the ruling Communist Party sometimes marks special occasions with payments to families in difficulty. The amount of the payments was not given. But they might help address a weak point for the economy -- faltering consumer spending. A notice on the WeChat social media account of the Ministry of Civil Affairs said authorities would "issue a one-time living allowance to the extremely poor, orphans and other needy people on the occasion of the 75th anniversary of the founding of New China," which is marked on Oct. 1, next Tuesday. Hong Kong's Hang Seng climbed 1.7% to 19,461.25 and the Shanghai Composite index added 0.6% to 2,914.19. The Nikkei in Tokyo advanced 2.5% to 38,812.94. South Korea's Kospi jumped 2.1%, to 2,649.51, after semiconductor maker SK Hynix launched production of a new memory chip for artificial intelligence. SK Hynix shares jumped 8.8%. In Australia, the S&P/ASX 200 picked up 0.8% to 8,187.60. On Wednesday, the S&P 500 slipped 0.2% to 5,722.26, a day after setting an all-time high for the 41st time this year. The Dow Jones Industrial Average dropped 0.7% to 41,914.75 after likewise setting a record the day before. The Nasdaq composite edged up by less than 0.1%, to 18,082.21. Treasury yields ticked higher in the bond market after sinking the prior day on a surprisingly weak update on confidence among U.S. consumers. The worst drop in three years raised worries about the U.S. economy's strength, but it also raised expectations for the Federal Reserve to deliver another dose of bigger-than-usual relief through a big cut to interest rates at its next meeting. On Wall Street, Stitch Fix tumbled 39.5% after the online fashion styling service said its revenue in the current quarter could be 15% to 17% weaker than a year earlier. Its stock has dropped below $3 from $100 early in the pandemic. KB Home fell 45.4% after reporting profit for the latest quarter that was just shy of analysts' expectations. The homebuilder, though, said orders picked up in August as mortgage rates came down. Sales of new homes across the country slowed in August, but not by as much as economists feared, according to a report released Wednesday. The next date on the calendar circled for a potentially big market move is next week's monthly update on the U.S. job market. Investors are concerned over slowing hiring now that inflation has eased significantly from its peak two summers ago. The number of layoffs remains relatively low, but U.S. employers are also more hesitant to hire. The Fed kept its main interest rate at a two-decade high for more than a year in hopes of slowing the U.S. economy enough to stifle inflation. Last week, it swung toward protecting the job market by cutting the federal funds rate by a larger-than-usual half of a percentage point. Critics say it may be moving too late. Trump Media & Technology Group jumped 10.5% for its first back-to-back gain in two weeks. The stock had been struggling amid speculation about whether former President Donald Trump would sell some of his shares in the company behind the Truth Social network, now that he is free to do so. In other dealings early Thursday, benchmark U.S. crude oil picked up 6 cents to $69.75 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, was up 14 cents at $73.04 per barrel. The U.S. dollar rose to 144.83 Japanese yen from 144.76 yen. The euro was trading at $1.1142, up from $1.1133.

Stock market today: Asian shares extend gains after China-driven rally

NEW YORK (AP) -- Asian shares pushed higher on Wednesday, again led by gains in China, after U.S. stocks climbed to more records in a quiet day of trading. Chinese property developers surged after Beijing announced a flurry of measures aimed at reviving the housing market after a prolonged downturn. That news also boosted prices for oil, copper and other commodities. Early Wednesday, U.S. futures were lower and oil prices also declined. Hong Kong's Hang Seng index jumped 1.8% to 19,346.68, after gaining more than 4% the day before. The Shanghai Composite index surged 1.8% to 2,913.47 following the announcement of concerted efforts to prop up the world's second-largest economy. "Chinese policymakers are throwing everything they've got to fight off deflation and breathe life into growth. Will it work long-term? Who knows," Stephen Innes of SPI Asset Management said in a commentary. "But for now, Chinese stocks are gobbling up these stimulus efforts like they're at an all-you-can-eat buffet," he said. In Tokyo, the Nikkei 225 was up 0.3% at 38,068.22, while South Korea's Kospi was flat, at 2,632.24. Australia's S&P/ASX 200 added 0.1% to 8,149.00. On Tuesday, U.S. stocks drifted to more records, with the S&P 500 closing 0.3% higher at 5,732.93, the 41st all-time high for this year. Gains were tentative, though, and the index wavered up and down following a surprisingly weak report on U.S. consumer confidence. The Dow Jones Industrial Average added 0.2% to its own record set the day before, closing at 42,208.22. The Nasdaq composite gained 0.6% to 18,074.52. The Federal Reserve's drastic turn last week in how it sets interest rate has buoyed markets. It's now lowering rates to ease pressure on the U.S. economy after keeping them high for years in hopes of extinguishing high inflation. Inflation has eased substantially from its peak two summers ago and the main worry occupying investors is that a slowdown in hiring by U.S. companies may worsen. Moves to interest rates can take a notoriously long time to work their way fully through the economy, and the Federal Reserve kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released Tuesday showed U.S. households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by U.S. consumers is the heart of the U.S. economy. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5% after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at $8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73%, from 3.75% late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53% from 3.59% late Monday. Lower interest rates can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to raise prices for all kinds of investments. Nvidia's jump of 4% was the strongest force lifting the S&P 500 index Tuesday. The chip company's stock had sunk 27% during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. In early Wednesday trading, U.S. benchmark crude oil was down 31 cents at $71.25 per barrel. Brent crude, the international standard, lost 24 cents to $74.23 per barrel. The dollar rose to 143.40 Japanese yen from 143.23 yen. The euro climbed to $1.1200 from $1.1180.

Stock market today: Asian shares extend gains after China-driven rally

NEW YORK -- Asian shares pushed higher on Wednesday, again led by gains in China, after U.S. stocks climbed to more records in a quiet day of trading. Chinese property developers surged after Beijing announced a flurry of measures aimed at reviving the housing market after a prolonged downturn. That news also boosted prices for oil, copper and other commodities. Early Wednesday, U.S. futures were lower and oil prices also declined. Hong Kong's Hang Seng index jumped 1.8% to 19,346.68, after gaining more than 4% the day before. The Shanghai Composite index surged 1.8% to 2,913.47 following the announcement of concerted efforts to prop up the world's second-largest economy. "Chinese policymakers are throwing everything they've got to fight off deflation and breathe life into growth. Will it work long-term? Who knows," Stephen Innes of SPI Asset Management said in a commentary. "But for now, Chinese stocks are gobbling up these stimulus efforts like they're at an all-you-can-eat buffet," he said. In Tokyo, the Nikkei 225 was up 0.3% at 38,068.22, while South Korea's Kospi was flat, at 2,632.24. Australia's S&P/ASX 200 added 0.1% to 8,149.00. On Tuesday, U.S. stocks drifted to more records, with the S&P 500 closing 0.3% higher at 5,732.93, the 41st all-time high for this year. Gains were tentative, though, and the index wavered up and down following a surprisingly weak report on U.S. consumer confidence. The Dow Jones Industrial Average added 0.2% to its own record set the day before, closing at 42,208.22. The Nasdaq composite gained 0.6% to 18,074.52. The Federal Reserve's drastic turn last week in how it sets interest rate has buoyed markets. It's now lowering rates to ease pressure on the U.S. economy after keeping them high for years in hopes of extinguishing high inflation. Inflation has eased substantially from its peak two summers ago and the main worry occupying investors is that a slowdown in hiring by U.S. companies may worsen. Moves to interest rates can take a notoriously long time to work their way fully through the economy, and the Federal Reserve kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released Tuesday showed U.S. households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by U.S. consumers is the heart of the U.S. economy. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5% after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at $8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73%, from 3.75% late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53% from 3.59% late Monday. Lower interest rates can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to raise prices for all kinds of investments. Nvidia's jump of 4% was the strongest force lifting the S&P 500 index Tuesday. The chip company's stock had sunk 27% during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. In early Wednesday trading, U.S. benchmark crude oil was down 31 cents at $71.25 per barrel. Brent crude, the international standard, lost 24 cents to $74.23 per barrel. The dollar rose to 143.40 Japanese yen from 143.23 yen. The euro climbed to $1.1200 from $1.1180.

Stock market today: Asian shares extend gains after China-driven rally

NEW YORK (AP) -- Asian shares pushed higher on Wednesday, again led by gains in China, after U.S. stocks climbed to more records in a quiet day of trading. Chinese property developers surged after Beijing announced a flurry of measures aimed at reviving the housing market after a prolonged downturn. That news also boosted prices for oil, copper and other commodities. Early Wednesday, U.S. futures were lower and oil prices also declined. Hong Kong's Hang Seng index jumped 1.8% to 19,346.68, after gaining more than 4% the day before. The Shanghai Composite index surged 1.8% to 2,913.47 following the announcement of concerted efforts to prop up the world's second-largest economy. "Chinese policymakers are throwing everything they've got to fight off deflation and breathe life into growth. Will it work long-term? Who knows," Stephen Innes of SPI Asset Management said in a commentary. "But for now, Chinese stocks are gobbling up these stimulus efforts like they're at an all-you-can-eat buffet," he said. In Tokyo, the Nikkei 225 was up 0.3% at 38,068.22, while South Korea's Kospi was flat, at 2,632.24. Australia's S&P/ASX 200 added 0.1% to 8,149.00. On Tuesday, U.S. stocks drifted to more records, with the S&P 500 closing 0.3% higher at 5,732.93, the 41st all-time high for this year. Gains were tentative, though, and the index wavered up and down following a surprisingly weak report on U.S. consumer confidence. The Dow Jones Industrial Average added 0.2% to its own record set the day before, closing at 42,208.22. The Nasdaq composite gained 0.6% to 18,074.52. The Federal Reserve's drastic turn last week in how it sets interest rate has buoyed markets. It's now lowering rates to ease pressure on the U.S. economy after keeping them high for years in hopes of extinguishing high inflation. Inflation has eased substantially from its peak two summers ago and the main worry occupying investors is that a slowdown in hiring by U.S. companies may worsen. Moves to interest rates can take a notoriously long time to work their way fully through the economy, and the Federal Reserve kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released Tuesday showed U.S. households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by U.S. consumers is the heart of the U.S. economy. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5% after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at $8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73%, from 3.75% late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53% from 3.59% late Monday. Lower interest rates can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to raise prices for all kinds of investments. Nvidia's jump of 4% was the strongest force lifting the S&P 500 index Tuesday. The chip company's stock had sunk 27% during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. In early Wednesday trading, U.S. benchmark crude oil was down 31 cents at $71.25 per barrel. Brent crude, the international standard, lost 24 cents to $74.23 per barrel. The dollar rose to 143.40 Japanese yen from 143.23 yen. The euro climbed to $1.1200 from $1.1180.

Stock Market Today: Asian Shares Extend Gains After China-Driven Rally

NEW YORK (AP) -- Asian shares pushed higher on Wednesday, again led by gains in China, after U.S. stocks climbed to more records in a quiet day of trading. Chinese property developers surged after Beijing announced a flurry of measures aimed at reviving the housing market after a prolonged downturn. That news also boosted prices for oil, copper and other commodities. Early Wednesday, U.S. futures were lower and oil prices also declined. Hong Kong's Hang Seng index jumped 1.8% to 19,346.68, after gaining more than 4% the day before. The Shanghai Composite index surged 1.8% to 2,913.47 following the announcement of concerted efforts to prop up the world's second-largest economy. "Chinese policymakers are throwing everything they've got to fight off deflation and breathe life into growth. Will it work long-term? Who knows," Stephen Innes of SPI Asset Management said in a commentary. "But for now, Chinese stocks are gobbling up these stimulus efforts like they're at an all-you-can-eat buffet," he said. In Tokyo, the Nikkei 225 was up 0.3% at 38,068.22, while South Korea's Kospi was flat, at 2,632.24. Australia's S&P/ASX 200 added 0.1% to 8,149.00. On Tuesday, U.S. stocks drifted to more records, with the S&P 500 closing 0.3% higher at 5,732.93, the 41st all-time high for this year. Gains were tentative, though, and the index wavered up and down following a surprisingly weak report on U.S. consumer confidence. The Dow Jones Industrial Average added 0.2% to its own record set the day before, closing at 42,208.22. The Nasdaq composite gained 0.6% to 18,074.52. The Federal Reserve's drastic turn last week in how it sets interest rate has buoyed markets. It's now lowering rates to ease pressure on the U.S. economy after keeping them high for years in hopes of extinguishing high inflation. Inflation has eased substantially from its peak two summers ago and the main worry occupying investors is that a slowdown in hiring by U.S. companies may worsen. Moves to interest rates can take a notoriously long time to work their way fully through the economy, and the Federal Reserve kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released Tuesday showed U.S. households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by U.S. consumers is the heart of the U.S. economy. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5% after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at $8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73%, from 3.75% late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53% from 3.59% late Monday. Lower interest rates can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to raise prices for all kinds of investments. Nvidia's jump of 4% was the strongest force lifting the S&P 500 index Tuesday. The chip company's stock had sunk 27% during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. In early Wednesday trading, U.S. benchmark crude oil was down 31 cents at $71.25 per barrel. Brent crude, the international standard, lost 24 cents to $74.23 per barrel. The dollar rose to 143.40 Japanese yen from 143.23 yen. The euro climbed to $1.1200 from $1.1180. Copyright 2024 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Asian shares extend gains after China-driven rally

AP - A China-led rally faded yesterday, leaving Asian shares mixed after a strong start that extended gains overnight on Wall Street. Chinese property developers surged after Beijing announced a flurry of measures the day before aimed at reviving the housing market after a prolonged downturn. That news also boosted prices for oil, copper and other commodities. However, the cheer brought on by news of a coordinated effort to rev up growth in the world's second-largest economy appeared to dissipate as the day wore on. United States (US) futures and oil prices also fell back. Hong Kong's Hang Seng index was up 0.7 per cent at 19,133.15 after jumping 1.8 per cent earlier in the day and gaining more than four per cent the day before. The Shanghai Composite index was 1.2 per cent higher at 2,896.31. "Chinese policymakers are throwing everything they've got to fight off deflation and breathe life into growth. Will it work long-term? Who knows," Stephen Innes of SPI Asset Management said in a commentary. In Tokyo, the Nikkei 225 shed 0.2 per cent to 37,870.26, while South Korea's Kospi sank 1.3 per cent to 2,596.32. Australia's S&P/ASX 200 slipped 0.2 per cent to 8,126.40. On Tuesday, US stocks drifted to more records, with the S&P 500 closing 0.3 per cent higher at 5,732.93, the 41st all-time high for this year. Gains were tentative, though, and the index wavered up and down following a surprisingly weak report on US consumer confidence. The Dow Jones Industrial Average added 0.2 per cent to its own record set the day before, closing at 42,208.22. The Nasdaq composite gained 0.6 per cent to 18,074.52. The Federal Reserve's (Fed) drastic turn last week in how it sets interest rate has buoyed markets. It's now lowering rates to ease pressure on the US economy after keeping them high for years in hopes of extinguishing high inflation. Inflation has eased substantially from its peak two summers ago and the main worry occupying investors is that a slowdown in hiring by US companies may worsen. Moves to interest rates can take a notoriously long time to work their way fully through the economy, and the Fed kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released on Tuesday showed US households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by US consumers is the heart of the US economy. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5 per cent after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at USD8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73 per cent, from 3.75 per cent late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53 per cent from 3.59 per cent late Monday. Lower interest rates can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to raise prices for all kinds of investments. Nvidia's jump of four per cent was the strongest force lifting the S&P 500 index on Tuesday. The chip company's stock had sunk 27 per cent during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. In early yesterday trading, US benchmark crude oil was down 38 cents at USD71.19 per barrel. Brent crude, the international standard, lost 29 cents to USD74.17 per barrel. The dollar rose to JPY143.61 from JPY143.23. The euro climbed to USD1.1192 from USD1.1180.

Stock market today: Wall Street drifts to more records after Chinese stocks soar

NEW YORK -- U.S. stocks drifted to more records Tuesday after Chinese stocks soared following a slew of moves by the Chinese central bank to prop up the world's second-largest economy. The S&P 500 rose 0.3% to set an all-time high for the 41st time this year. The movements were tentative, though, and the index wavered up and down following a surprisingly weak report released in the morning on confidence among U.S. consumers. The Dow Jones Industrial Average added 83 points, or 0.2%, to its own record set the day before, while the Nasdaq composite gained 0.6%. Financial markets have been mostly ebullient after the Federal Reserve made a drastic turn last week in how it sets interest rates. It's now lowering rates to make things easier for the U.S. economy after keeping them high for years in hopes of extinguishing high inflation. One of the risks still hanging over the market is the struggling Chinese economy and how much its flagging growth may affect the rest of the world. After earlier delivering some modest and piecemeal moves, the chief of China's central bank on Tuesday announced a broad set of changes to bolster its economy, including a reduction in the amount of reserves banks are required to keep. Analysts called the coordinated moves encouraging, and they helped stocks soar in China. Indexes jumped 4.2% in Shanghai and 4.1% in Hong Kong. But questions still remain about how much they will boost the economy, which has been struggling since Chinese authorities cracked down on excessive borrowing by property developers. Prices climbed for crude oil and other commodities that a healthy Chinese economy would devour. Copper rose 3.3%. Another risk hanging over Wall Street is the slowing U.S. job market. Now that inflation has eased substantially from its peak two summers ago, the main worry occupying investors is that a slowdown in hiring by U.S. companies may worsen. Moves to interest rates can take a notoriously long time to make their way fully through the economy, and the Federal Reserve kept its main interest rate at a two-decade high for more than a year before last week. It did cut by an unusually large amount in hopes of providing relief to the job market and economy. A report released Tuesday showed U.S. households are feeling more worried about the job market. Their overall confidence level sank in September, according to the Conference Board, instead of rising like economists expected. That's a big deal because spending by U.S. consumers is the heart of the U.S. economy. AutoZone's stock slipped 0.2% after the seller of auto replacement parts and accessories said a key measure of its sales performance among its U.S. stores barely grew during the latest quarter. It was part of an underwhelming report where its profit and revenue both fell short of analysts' expectations. AutoZone said it's continuing to see customers at its U.S. stores delay purchases of non-essentials. Another company that depends on the appetite of U.S. shoppers for non-essentials, Thor Industries, rose 6.1% following a mixed profit report. The maker of recreational vehicles reported better profit and revenue for the latest quarter than analysts expected, but it also gave a forecast for its upcoming fiscal year that sees the RV market continuing to be challenged. "The talk of a softer market is beginning to sound like a broken record, but we remained focused on managing through it with increasing efficiency," CEO Bob Martin said. One of Wall Street's bigger winners was Smartsheet, which helps companies manage projects and automate workflows. It rose 6.5% after Blackstone and Vista Equity Partners agreed to buy it in an all-cash deal valued at $8.4 billion. In the bond market, Treasury yields slipped following the weaker-than-expected report on consumer confidence. The 10-year yield fell to 3.73%, from 3.75% late Monday. The two-year yield, which more closely tracks expectations for the Fed's upcoming moves, fell to 3.53% from 3.59% late Monday. Yields sank as traders upped their forecasts for how much the Federal Reserve will cut interest rates by at its next meeting in November. They're now betting on a nearly 61% probability of another bigger-than-usual cut of half a percentage point. That's up from a 53% probability the day before, according to data from CME Group. Wall Street loves lower interest rates because they can give the economy a boost by making it less expensive to borrow money to buy a car, house or things on credit cards. They also tend to give a boost to prices for all kinds of investments. Nvidia's jump of 4% was the strongest force lifting the S&P 500 index Tuesday. The chip company's stock had sunk 27% during the summer on worries that its price had shot too high in the frenzy around artificial-intelligence technology. But lower rates dampen that criticism by a bit, and Nvidia has been rallying back since early August. All told, the S&P 500 rose 14.36 points to 5,732.93. The Dow added 83.57 to 42,208.22, and the Nasdaq composite gained 100.25 to 18,074.52. In stock markets abroad, indexes rose across much of Europe and Asia. France's CAC 40 jumped 1.3%, South Korea's Kospi rose 1.1% and Japan's Nikkei 225 added 0.6%. ___ AP Business Writers Elaine Kurtenbach and Matt Ott contributed.