US open: Stocks and Treasuries slip after batch of better-than-expected data

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Sharecast News | 30 Aug, 2022

US stocks gave up early gains on Tuesday adding to losses in the previous session, despite the release of a batch of mostly better-than-expected economic data.

As of 1610 BST, the Dow Jones Industrial Average was off by 0.83% or 267.33 points to 31,824.52, while the S&P 500 was down by 1.09% or 44.85 points to 3,984.88 and the Nasdaq Composite was declining by 1.35% or 162.59 points to 11,852.86.

Alongside, the yield on the benchmark one-year Treasury note was seven basis points higher to 3.483%.

On Monday, stocks slid alongside prices for Treasuries following a hawkish speech from Federal Reserve chair Jerome Powell at Jackson Hole, in which he said that getting back to price stability would "likely require maintaining a restrictive policy stance for some time".

But JP Morgan equity strategist Mislav Matejka was unbowed, telling clients on Tuesday that initial weekly jobless claims running 10% above their three-month moving average had historically been associated with a recession every time.

More to the point, on average the S&P 500 had tended to rise 11% over the subsequent 12 months, he added.

On the macro front, the US Department of Labor reported that job openings increased at a month-on-month pace of 1.8% in July to reach 11.24m (consensus: 10.3m).

However, the so-called 'quits' rate slipped from 2.8% for June to 2.7% in July.

In parallel, the S&P Case-Shiller index tracking house prices in the 20 largest cities in the US slowed from a year-on-year pace of 20.5% to 18.6% (consensus: 18.2%).

The FHFA's measure of national house prices did miss forecasts, with the annual rate of increase slipping from 18.9% over the first quarter to 17.67% in the second (Barclays Research: 18.0%).

The Conference Board's consumer confidence index meanwhile improved from 95.3 to 103.2 (consensus: 97.4), led by a rise in the sub-index tracking Americans' expectations.

Investors were also eyeing speeches from Richmond Fed President Tom Barkin and New York Fed President John Williams.

On the corporate front, Best Buy shares were in focus, trading up 3% after the release of its second-quarter numbers.

Dow Jones - Risers

Nike Inc. (NKE) $108.10 0.20%
Goldman Sachs Group Inc. (GS) $334.33 0.12%
International Business Machines Corporation (CDI) (IBM) $130.37 0.05%
Johnson & Johnson (JNJ) $163.06 0.04%
Dowdupont Inc. (DWDP) $0.00 0.00%
Honeywell International Inc. (HON) $0.00 0.00%
JP Morgan Chase & Co. (JPM) $114.31 -0.07%
Procter & Gamble Co. (PG) $141.46 -0.16%
Visa Inc. (V) $201.85 -0.24%
Walmart Inc. (WMT) $132.51 -0.28%

Dow Jones - Fallers

Dow Chemical Co. (DOW) $51.86 -3.19%
Caterpillar Inc. (CAT) $186.12 -2.95%
Chevron Corp. (CVX) $159.92 -2.86%
3M Co. (MMM) $124.51 -1.53%
Apple Inc. (AAPL) $159.15 -1.38%
Intel Corp. (INTC) $32.50 -1.33%
Walgreens Boots Alliance, Inc. (WBA) $35.53 -1.21%
Boeing Co. (BA) $163.43 -1.21%
Walt Disney Co. (DIS) $112.25 -1.13%
Microsoft Corp. (MSFT) $262.29 -1.11%

S&P 500 - Risers

Best Buy Co. Inc. (BBY) $76.54 3.85%
Gap Inc. (GPS) $9.70 2.32%
PPG Industries Inc. (PPG) $128.11 1.72%
Under Armour Inc. Class A (UAA) $8.65 1.35%
Masco Corp. (MAS) $51.42 1.24%
Sherwin-Williams Co. (SHW) $236.54 1.08%
VF Corp. (VFC) $41.87 1.06%
Under Armour, Inc. (UA) $7.75 0.91%
Nordstrom Inc. (JWN) $17.86 0.82%
Synchrony Financial (SYF) $32.98 0.76%

S&P 500 - Fallers

Helmerich & Payne Inc. (HP) $42.07 -7.38%
Freeport-McMoRan Inc (FCX) $29.75 -5.57%
CF Industries Holdings Inc. (CF) $107.12 -5.49%
Halliburton Co. (HAL) $30.33 -4.91%
Marathon Oil Corp. (MRO) $25.48 -4.89%
Mosaic Company (MOS) $57.50 -4.71%
Diamondback Energy Inc. (FANG) $132.75 -4.67%
Schlumberger Ltd. (SLB) $38.54 -4.56%
Occidental Petroleum Corp. (OXY) $71.94 -4.41%
Apache Corp. (APA) $39.56 -4.35%

Nasdaq 100 - Risers

Citrix Systems Inc. (CTXS) $102.65 0.41%
Liberty Global plc Series A (LBTYA) $20.23 0.15%
Check Point Software Technologies Ltd. (CHKP) $122.04 0.09%
Workday, Inc. (WDAY) $161.01 0.07%
Idexx Laboratories Inc. (IDXX) $349.10 0.01%
Xilinx Inc. (XLNX) $0.00 0.00%
Mylan Inc. (MYL) $0.00 0.00%
Celgene Corp. (CELG) $0.00 0.00%
Alexion Pharmaceuticals Inc. (ALXN) $0.00 0.00%
Shire Plc Ads (SHPG) $0.00 0.00%

Nasdaq 100 - Fallers

Baidu Inc. (BIDU) $137.36 -6.76%
Seagate Technology Plc (STX) $69.84 -3.75%
Wynn Resorts Ltd. (WYNN) $60.48 -3.09%
CSX Corp. (CSX) $31.75 -2.98%
Autodesk Inc. (ADSK) $200.96 -2.31%
Electronic Arts Inc. (EA) $126.67 -2.26%
Nvidia Corp. (NVDA) $154.48 -2.23%
Trip.com Group Limited (TCOM) $26.76 -2.17%
Western Digital Corp. (WDC) $43.81 -2.12%
KLA-Tencor Corp. (KLAC) $345.99 -2.09%

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