US stocks mostly lower in early trading; banks and tech fall
Stock market shakes off an early slide and turns higher
(35 minutes later)
NEW YORK — U.S. stocks are mostly lower in early trading as the market comes off a three-week winning streak. Banks and technology companies are posting some of the biggest losses. Chipmaker Micron Technology sank 2.2 percent. Energy companies rose sharply along with the price of oil.
NEW YORK — U.S. stocks are moving higher in midday trading, led by energy companies as the price of crude oil and natural gas climb.
KEEPING SCORE: The Standard & Poor’s 500 index lost three points, or 0.2 percent, to 1,996 as of 11:09 a.m. Eastern time. The Nasdaq composite gave up 14 points, or 0.3 percent, to 4,703. The Dow Jones industrial average rose 17 points, or 0.1 percent, to 17,024.
Murphy Oil soared 13 percent Monday, Southwestern Energy rose 10 percent and Chesapeake Energy jumped 7 percent.
ENERGY SURGE: The six biggest gainers in the S&P 500 were drillers and other energy-related companies. Murphy Oil rose $2.66, or nearly 11 percent, to $26.36.
The Dow Jones industrial average increased 62 points, or 0.4 percent, to 17,069 as of 11:45 a.m. Eastern time.
DUPONT JUMP: DuPont rose $1.82, or 3 percent, to $65. Bloomberg News reported that German chemicals giant BASF is offering to buy the company. DuPont had agreed to merge with Dow Chemical.
The Standard & Poor’s 500 index edged up three points, or 0.2 percent, to 2,003. The Nasdaq composite climbed 10 points, or 0.2 percent, to 4,726.
IRON SOARS: The price of iron ore jumped $8.76, or 17 percent, to $60.87 on news over the weekend that China plans to run up its deficit to stimulate its economy. The country also lowered the official growth target this year to 6.5-7 percent from 6.9 percent last year, a 25-year low, and promised more market-opening reforms. The slowdown in China has been rattling markets and unnerving its trading partners as it dampens demand for industrial components and raw materials.
Bond prices fell. The yield on the 10-year Treasury note rose to 1.91 percent.
BANK WARNING: The Bank for International Settlements warned of a “gathering storm” as central banks run out of room to stimulate their economies. The BIS’s chief economist, Claudio Borio, said investor confidence in central banks is “faltering.” The BIS is often referred to as the central banks’ central bank.
ECB IN FOCUS: Investors are anxious over a policy meeting of the ECB on Thursday. They expect further stimulus from the central bank because inflation across the 19-country eurozone has fallen back below zero. That could include a further cut into negative of the deposit rate, from minus 0.3 percent, and an expansion of its bond-buying program.
EUROPE DOWN: Germany’s DAX fell 0.8 percent while France’s CAC-40 lost 0.6 percent. Britain’s FTSE 100 lost 0.5 percent.
ASIA’S DAY: Tokyo’s Nikkei retreated 0.6 percent and Hong Kong’s Hang Seng shed 0.1 percent. Seoul’s Kospi advanced 0.1 percent.
ENERGY: Benchmark U.S. crude gained $1.08, or 3 percent, to $37.02 a barrel on the New York Mercantile Exchange. Brent crude, used to price international oils, rose $1.10, or 3 percent, to $39.82 a barrel.
CURRENCY: The euro fell to $1.0980 from $1.0999 and the dollar fell to 113.58 yen from 114.02 yen.
BONDS: Bond prices fell. The yield on the 10-year Treasury note rose to 1.90 percent from 1.88 percent late Friday.
Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Copyright 2016 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
