Global markets update: US stocks slip on worries over interest rate hike

The S&P 500 lost 11.06 points, or 0.25%, at 4,388.71. The Dow Jones Industrial Average fell 170.34 points, or 0.49%, at 34,293.35. The Nasdaq Composite added 13.79 points, or 0.1%, at 13,511.38.

Banking index edged down 0.8%.

Fed chair Jerome Powell will speak at a meeting in Jackson Hole on Friday. His speech will give investors some clarity on the monetary policy outlook.

The benchmark 10-year treasury yield hit almost 16-year high on hopes that the Fed could keep interest rates higher for longer period. The yield fell at 4.32% from 4.34% late Monday.

The 2-year treasury yield rose at 5.04% from 5.00%.

Microsoft added 0.2% as UK regulators mull a revamped bid by the company to buy video game maker Activision Blizzard.

Shares of Lowe’s rose 3.7% after reporting stronger profit.

Shares of Dick’s Sporting Goods plunged 24.1% after its profit dropped for the latest quarter.

Macy’s fell 14.1% despite reporting stronger results for the latest quarter.

Currencies

The US dollar fell at 145.87 Japanese yen from 146.11. It fell at $1.0852 from $1.0899 against the euro.

Europe

European shares advanced on Tuesday on a rally in technology stocks.

The pan-European STOXX 600 closed up 0.7%.

Britain’s FTSE 100 rose 0.2% at 7,270.76. Germany’s DAX edged up 0.7% at 15,705.62. France’s CAC 40 added 0.6% at 7,240.88. 

Technology index jumped 2%.

Shares of Amsterdam-listed chipmakers ASML Holding N.V., ASM International N.V and BE Semiconductor Industries N.V. rose between 0.7% to 3.3%.

In Paris, shares of chipmaker STMicroelectronics added 2.5%.

Asia 

In Asian markets, Hong Kong’s Hang Seng index rose 1% at 17,791.01. In China, Shanghai Composite added 0.9% at 3,120.33. 

Japan’s Nikkei 225 edged up 0.9% at 31,856.71. 

Australia’sS&P/ASX 200 index closed 0.1% higher at 7,121.60 points. New Zealand’s benchmark S&P/NZX 50 index advanced 0.2% at 11,485.26 points.

Energy prices

The US crude oil benchmark for September delivery fell 37 cents at $80.35 a barrel on Tuesday. Brent crude for October delivery lost 43 cents at $84.03 a barrel.

Natural gas for September delivery slipped 7 cents at $2.56 per 1,000 cubic feet.

Bullion 

Gold for December delivery gained $3 at $1,926 an ounce. Silver for September delivery rose 11 cents at $23.45 an ounce.

Updated: 23 Aug 2023, 02:02 AM IST