Make Kitco Your Homepage

Wall Street ends mixed as investors eye payrolls data

Kitco News

Aug 4 (Reuters) - Wall Street's main indexes ended mixed on Thursday as gains in high-growth stocks offset losses in energy shares, with investors looking ahead to monthly jobs report for clues on the pace of interest rate hikes by the Federal Reserve.

The tech-heavy Nasdaq hit a fresh three-month high, led by Amazon.com Inc (AMZN.O) and Advanced Micro Devices (AMD.O), while losses in Apple Inc (AAPL.O) and energy stocks including Exxon Mobil weighed on the S&P 500.

Worries about a slowing global economy pushed oil prices to their lowest since before Russia's February invasion of Ukraine and U.S. bond yields slipped after the Bank of England warned of a long recession. read more

Strong earnings reports and data showing a surprise pick up in services sector activity sent the main indexes sharply higher in the previous session.

"The market is looking for direction after a strong bounce that relieved the deep pessimism that had permeated the markets," Yung-Yu Ma, chief investment strategist at BMO Wealth Management.

"Many signs indicate that inflation has peaked, and the question now turns to how quickly it will come down or whether stickier components will keep it higher than the Fed is comfortable with."

Focus will be on Friday's closely watched U.S. employment report, which is expected to show nonfarm payrolls increased by 250,000 jobs last month, after rising by 372,000 jobs in June.

Any signs of strength in the labor market could into feed fears of aggressive measures by the Fed.

Cleveland Fed President Loretta Mester, a voting member of the rate-setting panel, reiterated the need to see several months of inflation coming back down toward the Fed's 2% target before policymakers feel they can let up on tightening monetary policy. read more

The S&P 500 has gained about 14% from its mid-June lows, but is still down about 13% for the year on concerns around the fallout of the Ukraine war, soaring inflation, COVID-19 flare-ups in China and an aggressive rise in interest rates.

According to preliminary data, The Dow Jones Industrial Average (.DJI) fell 85.31 points, or 0.26%, to 32,727.19, the S&P 500 (.SPX) lost 3.15 points, or 0.08%, to 4,152.02 and the Nasdaq Composite (.IXIC) added 52.42 points, or 0.41%, to 12,720.58.

Shares of crypto exchange Coinbase Global Inc (COIN.O) jumped after it announced a tieup with BlackRock (BLK.N) to provide its institutional clients access to crypto trading and custody services. read more

Health insurer Cigna Corp (CI.N) gained after raising its annual profit forecast. read more

Drugmaker Eli Lilly and Co (LLY.N) slipped as it cut annual profit view for the second time. read more

Facebook-parent Meta Platforms (META.O) said it would make its first-ever bond offering. read more

Reporting by Sruthi Shankar, Medha Singh, Aniruddha Ghosh and Devik Jain in Bengaluru; Editing by Arun Koyyur
Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.