XLU - Stocks Turn Red As Jobless Claims Rise Gold Rallies Oil Plummets: What's Driving Markets Thursday? | Benzinga
It’s a red day on Wall Street, with stocks retreating as investors assess the latest economic data indicating an increase in jobless claims and Walmart, Inc. (NYSE:WMT) delivering a cautious stance on the consumer outlook.
Treasury yields fell, as investors flocked to fixed income. The 10-year yields erased Wednesday’s uptick, settling at 4.45%.
On the data front, jobless claims exceeded expectations, totaling 231,000 last week and reaching their highest level in three months. Import and export prices came in below anticipated levels, heightening concerns about a sustained economic slowdown. Money markets have completely ruled out the probability of a Federal Reserve interest rate hike and are factoring in four rate cuts in 2024.
Oil prices plummeted by 4.8%, causing further declines in energy stocks, while precious metals acted as a safe haven, leading to gains for mining companies.
The VanEck Oil Services ETF (NYSE:OIH) dropped by 4.4%, making it the worst-performing industry today, while the VanEck Gold Miners ETF (NYSE:GDX) rallied nearly 2%, representing the best-performing industry
Cues From Thursday's Trading:
Both the S&P 500 and the Nasdaq 100 eased 0.1%, while Dow Jones Industrial Average slipped 0.3%. Small caps underperformed, shedding 1.6%.
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