AYA:CC - S&P Edges Higher in Another Volatile Session
The S&P 500 broke back into the green Wednesday, buoyed by Bank of America and Morgan Stanley’s blockbuster earnings reports. Ongoing concerns about U.S.-China trade negotiations and a government shutdown weighed on investor sentiment but took a backseat to enthusiasm over a better-than-expected start to earnings season.
The Dow Jones Industrials 17.15 points, however, to 46,253.31.
The S&P 500 gained 26.75 points to 6,671.06
The tech-heavy NASDAQ was hoisted 148.38 points to 22,670.08.
High-flying AI stock Nvidia rolled over to trade 0.5% lower after rising as much as 2.7%.
Bank of America shares jumped 4% after the company posted third-quarter earnings and revenue that beat analyst expectations, thanks to strong investment banking revenue. Morgan Stanley also posted better-than-expected earnings, sending its shares higher by 6%.
Those reports come after a spate of better-than-expected reports from Goldman Sachs and Wells Fargo, among others, on Tuesday.
Still, Wall Street veteran Art Hogan believes that stocks will likely trade sideways from here, wavering near all-time highs as long as trade war uncertainty persists. The chief market strategist at B. Riley Wealth Management also said the U.S. government shutdown is another headwind for the market.
Trade fears led to a tumultuous session on Tuesday. The S&P 500 attempted a comeback, but ultimately closed lower after President Donald Trump threatened China with a cooking oil embargo late in the session as retaliation for Beijing not buying U.S. soybeans. On Tuesday, the benchmark was up as much as 0.4% and down as much as 1.5%.
Prices for the 10-year Treasury slumped Wednesday, raising yields to 4.04% from Tuesday’s 4.03%. Treasury prices and yields move in opposite directions.
Oil prices doffed 21 cents to $58.49 U.S. a barrel.
Gold prices jumped $60.60 to $4,224.00 U.S. an ounce.