Wall St ends higher as investors digest economic data ahead of inflation report…..
Wall Street’s main indexes ended higher on Thursday as investors assessed the latest batch of economic data and as a surge in Treasury yields stalled ahead of a key inflation report. Investors were also watching developments in Washington to see whether U.S. lawmakers could avert a government shutdown.
The recent move in Treasury yields to 16-year highs has loomed over the stock market, which has pulled back after the Federal Reserve last week signaled a hawkish long-term outlook for interest rates.
According to preliminary data, the S&P 500 <.SPX> gained 24.75 points, or 0.58%, to end at 4,299.26 points, while the Nasdaq Composite <.IXIC> gained 107.33 points, or 0.82%, to 13,200.18. The Dow Jones Industrial Average <.DJI> rose 116.13 points, or 0.32%, to 33,659.20. Among S&P 500 sectors, communication services <.SPLRCL> and materials <.SPLRCM> groups rose. The rate-sensitive utilities sector <.SPLRCU> sank, continuing its recent slide. Data showed the U.S. economy maintained a fairly solid pace of growth in the second quarter. Separate readings showed initial jobless claims rose slightly last week and a higher-than-expected fall in contracts to buy existing homes in August.
Investors were looking ahead to Friday’s personal consumption expenditures price index for the latest view on inflation.
In Washington, the Democratic-led U.S. Senate forged ahead with a bipartisan stopgap funding bill aimed at averting a fourth partial government shutdown in a decade. The House of Representatives prepared to vote on partisan Republican spending bills with no chance of becoming law.
In company news, Micron Technology shares dropped after the chip company forecast a bigger loss than analysts had expected. Accenture shares slumped after the IT services firm forecast full-year earnings and first-quarter revenue below Wall Street targets.
Reporting by Lewis Krauskopf in New York, Ankika Biswas and Shashwat Chauhan; Editing by Sriraj Kalluvila, Maju Samuel and David Gregorio
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