New Telegraph

U.S. stocks rise as traders await new catalysts

U.S. equities rose on Wednesday as the tussle between economic optimism and inflation concern continued to play out in markets. The S&P 500 gained, led by energy and technology shares, as traders awaited fresh catalysts in economic data, including the U.S. jobs report due later this week. According to Bloomberg, the dollar pared back gains ahead of comments from Federal Reserve officials and the central bank’s Beige book release. WTI crude futures extended gains after closing at the highest since 2018. Meanwhile, Treasuries, gold and Bitcoin gained. As the U.S.

economy continues to claw its way back from the pandemic, traders are looking for fresh signals on whether that growth will translate into inflation and ultimately prompt the Fed to withdraw support. On Wednesday, Richmond Fed President Thomas Barkin said he watching for signs of wage pressures building. Up next is Friday’s U.S. payrolls data, which will provide a clearer view of the state of the labor market — and hints on whether the central bank is likely to scale back its monthly asset purchases.

“It seems like they’re starting to lay the ground work for tapering,” Aaron Clark, portfolio manager at GW&K Investment Management, said of the Fed’s recent signaling. “So I think investors are just in a holding pattern right now.” The yield on the 10- year Treasury note hasn’t meaningfully budged in weeks as the market has continued to oscillate between favoring growth and value stocks, Emily Roland, co-chief investment strategist at John Hancock Investment Management, said.

Read Previous

DLM Capital launches fintech challenge for innovators

Read Next

Musa, Onuachu boost Eagles’ Camp ahead of Lions friendly

Leave a Reply

Your email address will not be published. Required fields are marked *