Traders work on the floor of the New York Stock Exchange during morning trading on September 23, 2024 in New York City.
Michael M. Santiago | Getty Images
Stocks rebounded Tuesday after a losing session on Wall Street, as oil prices fell and investors assessed ongoing tensions in the Middle East.
the Standard & Poor’s 500 It gained 0.97% to settle at 5751.13 points Nasdaq Composite It rose 1.45% to close at 18,182.92 points. the Dow Jones Industrial Average It rose 126.13 points, or 0.3%, to close at 42,080.37 points.
West Texas Intermediate Oil futures fell 4.6% on Tuesday as traders monitor Israel’s expected retaliation over Iranian missile attacks and US efforts to prevent a broader regional conflict. The move pressured energy stocks, with the S&P 500 down 2.6%. Petroleum Marathon and Valero energy He lost 7.7% and 5.3%, respectively.
“The war seems to be at the forefront of everyone’s minds,” said Robert Pavlik, senior portfolio manager at Dakota Wealth Management. “The bigger picture is the election and there is a lot of uncertainty surrounding taxes and how that will impact potential earnings in the future.”
Technology stocks rose on Tuesday, with Nvidia and Broadcom By 4% and 3%, respectively. Meta platforms, Tesla and Microsoft It rose by at least 1% for each Palo Alto Networks rose 5%.
The start of the new trading month ushered in a wave of volatility as fears mounted about the escalation of the conflict in the Middle East. Rising bond yields also affected the market, with interest rates rising Treasury for 10 years tops 4%.
The market rose slightly to end last week after the blockbuster jobs report, and the Dow Jones hit a new all-time closing high. However, enthusiasm faded this week as investors opined that the Fed may not be as aggressive in cutting interest rates in the future given the strength of the labor market.
Dakota’s Pavlik added that short-term economic data pointed more to a resilient economy, reinforcing concerns that the central bank may “step back” on interest rate cuts from here.
“Devoted student. Bacon advocate. Beer scholar. Troublemaker. Falls down a lot. Typical coffee enthusiast.”