Highlights
Equities consolidated and ended nearly flat Thursday after strong gains earlier in the week on favorable inflation news and hopes for a soft landing.
The Dow Jones industrial average eased 0.1 percent, the S&P 500 firmed 0.1 percent, and the Nasdaq was up 0.1 percent. US Treasury yields and the dollar declined while oil prices dropped.
Softer than expected economic data played on fears that a harder landing is coming, with markets reacting to higher than expected jobless claims and much weaker than expected industrial production and homebuilder sentiment reports. Bond yields came off on the soft data to help megacaps outperform.
Sectors were mixed with communications services and technology outperforming while energy stocks lagged on a big move down in oil prices. Consumer staples suffered from Walmart's selloff.
In earnings news, disappointing results from Palo Alto Network and Cisco and a warning on holiday spending from Walmart triggered wider selling.
The Dow Jones industrial average eased 0.1 percent, the S&P 500 firmed 0.1 percent, and the Nasdaq was up 0.1 percent. US Treasury yields and the dollar declined while oil prices dropped.
Softer than expected economic data played on fears that a harder landing is coming, with markets reacting to higher than expected jobless claims and much weaker than expected industrial production and homebuilder sentiment reports. Bond yields came off on the soft data to help megacaps outperform.
Sectors were mixed with communications services and technology outperforming while energy stocks lagged on a big move down in oil prices. Consumer staples suffered from Walmart's selloff.
In earnings news, disappointing results from Palo Alto Network and Cisco and a warning on holiday spending from Walmart triggered wider selling.
Definition
Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.
Description
Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.
