US Markets Sept 29: Dow Dips, Nasdaq Composite Rises Amid Shutdown Fears

 

US Markets LIVE, Sept 29, 2023: The US stock market indexes opened higher on Friday, as the latest data showed monthly inflation rose at a slower pace.

Dow Jones opened a gap-up of 216.27 points at the 33882.61 level, while the S&P 500 made a higher opening of 28.48 points at the 4328.18 level. The tech-heavy Nasdaq Composite index also made a higher opening of 136.43 points at the 13337.71 level on Friday.

 

US Markets Live Today

 

At 11.55 AM EDT, The US stock market indexes trimmed their early gains and trading mixed at this moment. Dow Jones turned negative and is trading slightly lower by 76.49 points or 0.23 percent at the 33589.85 level while the S&P 500 trimmed early gains and is trading slightly higher by 4.01 points or 0.09 percent at 4303.71 levels. The tech-heavy Nasdaq Composite index also trimmed most of its early gains but is trading higher by 68.09 points or 0.52 percent at 13269.36 levels. 

 

US Market News

 

The US stock market sentiments got boosted on Friday after the Personal Consumption Expenditures (PCE) Price index, the Fed’s preferred gauge of inflation beats expectations in August. The data showed, that the core PCE index rose 0.1% month over month in August, and 3.9% year over year, coming lower than July and economists’ expectations.

The better-than-expected PCE price index data cheered investors and helped them to recover some monthly losses on the final day of September. The key indexes Dow Jones, S&P 500, and Nasdaq are set to close the trading month with sharp losses between 2% to 4%.

The benchmark 10-year Treasury yield extended its decline for the second consecutive day, as did the U.S. dollar. The 10-year Treasury yields which closed at 4.578% on Thursday declined to 4.514% on Friday.

The market upside remained capped, as investors worried about the potential for a government shutdown. With only two days left, investors worried about the consequences of shutdown post-12:01 a.m. ET Sunday if a funding bill is not approved.

 

Stocks in News Today

 

The share of athletic apparel group Nike Inc. gained more than 6% after the company reported mixed quarterly earnings reports.

The shares of ingredients and meal recipe meal kit company Blue Apron jumped 133% after the company announced that it had reached a deal to be acquired by Wonder Group.

Anheuser-Busch InBev, the share of beer marker gained about 4% after Bank of America upgraded the company rating from neutral to buy

The share of online dating application Bumble jumped 5% after Loop Capital Markets upgraded the rating to buy, saying the stock is “de-risked” due to strong cash balance and free cash flow generation.

 

Oil Prices

 

The crude oil prices are trading lower in choppy trading on Friday, but are set to finish the week on a positive note. In addition to the extension of production cuts, the supply tightness in the US and the increase in demand from China during the weeklong holiday lifted the crude oil prices during the week. 

Meanwhile, market analysts are expecting a potential reduction in voluntary supply cuts in the next week’s OPEC+ meeting. The US WTI crude is trading lower by 0.68% at $91.09 per barrel while London-based Brent crude oil is trading lower by 0.58% at $92.56 per barrel.

 

US Markets at Close

 

The US stock market indexes closed mixed on Friday, ending their worst month of the year. The market sentiments were optimistic on Friday morning, as better-than-expected inflation data raised hope that the Fed could stop the interest rate hike. In the late morning, stocks slipped due to US government shutdown fear, investors feared the repercussions of shutdown post-12:01 a.m. ET Sunday, if a funding bill is not approved.

Dow Jones and S&P 500 erased all early gains and closed lower by 0.47 percent and 0.27 percent respectively. The tech-heavy Nasdaq trimmed most of its early gains and closed slightly higher by 0.14 percent.

 

Also, read  Stock Market Prediction Next Week (25- 29 Sept 2023)

                   Global Stock Market Weekly Analysis (18-22 Sept 2023)

 

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Editor’s Desk