Stocks Rise on Wall Street
Wall Street indices finished the day in positive territory as oil prices and bond yields held relatively steady.
A relatively stable trend in oil prices and bond yields gave markets some breathing room on Wednesday, with Wall Street indices posting gains to recover some of their previous losses.
General Increase in Indices
The S&P 500 index gained 0.6%. The Dow Jones Industrial Average rose 0.5% with a 270-point increase, while the Nasdaq composite index also advanced by 0.5%.
Banking Sector and Companies
Bank stocks recorded some of the strongest gains in the market. JPMorgan Chase shares gained 0.8%, while Bank of America shares increased by 1.3%. Meanwhile, Dell Technologies surged by 6.9% following positive financial data.
Global Markets and Oil
European stock exchanges declined following the drop in Asian markets. The international benchmark Brent crude oil price per barrel increased by 1% to reach $95.69, while Chevron gained 0.4% after confirming it will expand its operations in Venezuela.
Employment Data and Inflation
Market focus has now turned to the August employment report, which is scheduled to be released on Friday. According to the ADP report, private sector employment showed a decline in August.
Central Bank and Bond Yields
The yield on the 10-year Treasury note ticked up slightly to 4.80% from 4.79% on Tuesday, while the 2-year Treasury yield remained flat at 4.39%. Investors are pricing in a 64% probability of a Federal Reserve rate hike at its September meeting.