US Markets LIVE: Dow and Nasdaq Composite Index Sept 20, 2023

 

 

US Markets LIVE, Sept 20, 2023: The US stock market indexes opened higher on Wednesday, as the bond yields slipped ahead of the much-awaited Federal Reserve interest rate decision later in the day. 

Dow Jones opened higher by 57.77 points at the 34575.50 level, while the S&P 500 made a positive opening of 8.86 points at the 4452.81 level. The tech-heavy Nasdaq Composite index also made a higher opening of 32.07 points at 13710.26 level.

 

US Markets Live Today

 

At 11.30 a.m EDT, Dow Jones extended its early gains and is trading higher by 175.70 points or 0.51 percent at the 34693.43 level while the S&P 500 trimmed its early gains and is trading slightly higher by 5.83 points or 0.13 percent at 4449.78 levels. The tech-heavy Nasdaq Composite index pared its early gains and is trading slightly lower by 38.42 points or 0.28 percent at 13639.77 levels. 

 

US Market News

 

The US market sentiments are slightly positive ahead of the Fed’s interest rate decision, as oil prices are steady, at the same time, Treasury yields also receded slightly after hitting a multiyear high. The central bank’s interest rate decision is due at 2 p.m. ET. As widely expected, the Fed is likely to pause the interest rate hikes on Wednesday. But there is still a slight chance of about 29% that the Fed would raise rates in November.

Investors will be closely watching the press conference of Fed Chair Jerome Powell for any additional clues on the prospect of rate cuts in 2024, as well as projections for inflation, unemployment, and gross domestic product. 

On Wednesday, the Bank of America Global Research raised its year-end target for the S&P 500 index to 4,600, from its earlier forecast of 4,300, saying that the index could benefit as much, if not more, over its new-age tech peers.

The yields on 10-year Treasury notes eased slightly to 4.334% after hitting its highest level, since 2007 on Tuesday. Treasury yields were closed at 4.364% on Tuesday. 

 

Stock News Today

 

RBC Capital Markets has upgraded the software company IBM with an outperform rating, the stock is undervalued and can jump 30%. The share price of IBM is gaining about 3%.

The share price of Dollar General declined about 2% as JP Morgan downgraded the company saying higher costs and inflationary pressure hurting consumers.

Pinterest gained more than 4%, as the company official said the revenue growth accelerated after a slowdown in the previous two years.

The share price of Bausch Health gained more than 8% after Jefferies upgraded the stock to a buy rating and raised its price target to $16, the stock is currently trading at $8.4. 

 

Oil Prices

 

The crude oil prices are steady, as traders digested a forecast of a large drawdown in US crude inventories ahead of the Federal Reserve monetary policy meeting. Despite the large drawdown, some traders preferred to book a profit ahead of the Fed’s interest rate decision 

The US WTI crude is trading slightly higher by 0.57% at $91 per barrel while London-based Brent crude oil is trading marginally higher by 0.38% at $94.68 per barrel.

 

US Markets at 2.15 PM EDT

 

The US stock market indexes are trading mixed after Federal Reserves kept rates unchanged, as widely expected. Dow Jones trimmed early gains but trading higher by 140.45 points or 0.41 percent at the 34658.18 level while the S&P 500 index erased early gains and trading lower by 4.47 points or 0.10 percent at 4439.48 levels. The tech-heavy Nasdaq Composite index extended its intraday losses and is trading lower by 56.74 points or 0.41 percent at 13621.44 levels. 

 

US Markets at Close

 

The US stock market indexes extended their losses in the last hour on Wednesday, as the Federal Reserve kept the rate unchanged as widely expected but signaled one more hike in the current year. The market sentiment was hit, as the central bank indicated a possibility of higher interest rates for the longer period with only two rate cuts in 2024 instead of four as projected earlier.

Dow Jones pared early gains and declined 0.22 percent, while the S&P 500 index and Nasdaq Composite fell sharply by 0.94 percent and 1.53 percent respectively, as big tech stocks came under pressure on Wednesday.

 

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