UNITED STATES NEWS

Stock market today: Asian shares rise with eyes on prices, war in Middle East

Oct 10, 2023, 11:29 PM | Updated: Oct 11, 2023, 9:26 pm

TOKYO (AP) — Asian shares mostly rose Thursday as investors awaited the release of U.S. consumer price data and kept a cautious watch on the war between Israel and the Palestinian militant group Hamas.

Japan’s benchmark Nikkei 225 jumped 1.6% to 32,442.08. Sydney’s S&P/ASX 200 gained 0.1% to 7,097.50. South Korea’s Kospi added 1% to 2,474.32. Hong Kong’s Hang Seng surged 1.9% to 18,228.96, while the Shanghai Composite rose 0.7% to 3,099.21.

“Recent remarks from FOMC members have leaned dovish, suggesting that the Fed might maintain current short-term rates,” Anderson Alves at ActivTrades said in a report, referring to the U.S. Federal Reserve’s action on interest rates.

Tensions in the Middle East are under the spotlight, with a possible escalation if nations like Lebanon or Iran are drawn in, which would set off significant movement in U.S. Treasuries, he said.

On Wall Street, the S&P 500 rose 0.4% to 4,376.95 for its fourth straight gain. The Dow Jones Industrial Average added 0.2% to 33,804.87, and the Nasdaq composite gained 0.7% to 13,659.68. All three indexes moved between small gains and losses through the day.

Wall Street has been mostly struggling since the summer as longer-term yields shoot higher in the bond market, weighing on prices for all kinds of investments. Some relief has come this week, and yields have eased after officials at the Federal Reserve suggested they may be done raising their main overnight interest rate.

The yield on the 10-year Treasury fell to 4.57% from 4.66% late Tuesday and from more than 4.80% last week, when it reached its highest level since 2007. Besides hurting prices for investments, high yields have jacked up rates for mortgages and other loans, which saps momentum from the economy.

The stock market got a boost from that drop in longer-term yields, but it also felt a drag from rising shorter-term yields. The two-year Treasury yield, which moves more closely with expectations for the Fed, ticked up to 4.99% from 4.97%.

Yields were mixed after a report showed inflation at the wholesale level was stronger last month than economists expected. A report showing how much inflation U.S. households are facing will arrive on Thursday, and economists expect it to show a slowdown.

While the report on wholesale inflation was above expectations, Rubeela Farooqi, chief U.S. economist at High Frequency Economics, said it wasn’t enough to change her forecast that the Fed’s main interest rate is already at its peak.

“Fed officials are gradually taking comfort with the fact that the July rate hike may have been the last one in this historic tightening cycle,” said Gregory Daco, chief economist at EY.

Minutes from the Fed’s meeting last month suggested officials see the outlook for the U.S. economy as particularly uncertain. They said they were ready to “proceed carefully” in deciding what to do next with rates.

Still, with the U.S. government racking up big deficits that require more borrowing, and buyers in shorter supply, the pressure has been mostly upward on Treasury yields.

In energy trading, a further pullback in crude oil prices is helping to take some heat off inflation and support Wall Street. Benchmark U.S. crude lost 58 cents to $82.91 a barrel in electronic trading on the New York Mercantile Exchange. It slumped $2.48 to settle at $83.49 on Wednesday. Brent crude, the international standard, fell 50 cents to $85.32 per barrel.

Oil prices have given back much of their strong gains from earlier this week, triggered by fighting in Gaza. Though the area doesn’t produce much oil, the worry is that the violence could spill into the politics around the crude market and hurt the flow of petroleum.

Energy stocks in the S&P 500 logged the sharpest losses among the 11 sectors that make up the index.

Exxon Mobil felt extra pressure after it said it would buy Pioneer Natural Resources in an all-stock deal valued at $59.5 billion. Exxon Mobil fell 3.6%, and Pioneer Natural Resources rose 1.4%.

In currency trading, the U.S. dollar rose to 149.27 Japanese yen from 149.07 yen. The euro cost $1.0623, little changed from $1.0626.

___

AP Business Writer Stan Choe contributed.

United States News

Associated Press

Senate in Massachusetts passes bill curtailing use of plastics including bags, straws

BOSTON (AP) — The state Senate in Massachusetts has passed a wide-ranging bill curtailing the use of plastics, including barring the purchase of single-use plastic bottles by state agencies. The bill, approved Thursday, also bans carry-out plastic bags at retailers statewide and require stores to charge 10 cents for recycled paper bags. It also requires […]

44 minutes ago

Associated Press

Helicopters scramble to rescue people in flooded Iowa town while much of US toils again in heat

The governor of Iowa sent helicopters to a small town to evacuate people from flooded homes Saturday, the result of weeks of rain, while much of the United States longed for relief from yet another round of extraordinary heat. Sirens blared at 2 a.m. in Rock Valley, Iowa, population 4,200, where people in hundreds of […]

56 minutes ago

Associated Press

Husband of bride killed in alleged DUI crash on wedding night to receive nearly $1M in settlement

FOLLY BEACH, S.C. (AP) — The husband of a bride who was killed in a South Carolina beach road collision on her wedding night last year will receive nearly a million dollars in settlement connected to the crash, which a drunk driver allegedly caused. The Post and Courier reported that Aric Hutchinson will receive about […]

1 hour ago

Associated Press

2 men convicted in 2021 armed standoff on Massachusetts highway

BOSTON (AP) — Two men have been convicted for their role in an armed standoff on a busy Massachusetts highway in 2021 that lasted more than eight hours and caused traffic delays during a busy Fourth of July weekend. Middlesex District Attorney Marian Ryan announced Friday that Jamhal Tavon Sanders Latimer and Steven Anthony Perez […]

2 hours ago

Associated Press

Maine doctor convicted on multiple counts of illegally distributing opioids

PORTLAND, Maine (AP) — A Maine doctor who runs an addiction treatment center has been convicted on multiple counts of illegally distributing opioids including oxycodone, hydromorphone and fentanyl. Dr. Merideth Norris, 53, of Kennebunk, Maine, was found guilty in federal court Friday of distributing the opioids at her practice. According to court documents, she did […]

3 hours ago

Associated Press

Teen charged with murder in death of 7-year-old Chicago boy struck by random gunfire

CHICAGO (AP) — A teenager was charged with murder in the fatal shooting of a 7-year-old Chicago boy who was not the intended target of gunfire earlier in the week, police said. “There is no excuse for this violence,” police Supt. Larry Snelling said Friday night. Jai’mani Amir Rivera was killed Tuesday outside an apartment […]

3 hours ago

Sponsored Articles

...

Sanderson Ford

3 new rides for 3 new road trips in Arizona

It's time for the Sanderson Ford Memorial Day sale with the Mighty Fine 69 Anniversary, as Sanderson Ford turned 69 years old in May.

...

Day & Night Air Conditioning, Heating and Plumbing

Beat the heat, ensure your AC unit is summer-ready

With temperatures starting to rise across the Valley, now is a great time to be sure your AC unit is ready to withstand the sweltering summer heat.

...

DESERT INSTITUTE FOR SPINE CARE

Desert Institute for Spine Care is the place for weekend warriors to fix their back pain

Spring has sprung and nothing is better than March in Arizona. The temperatures are perfect and with the beautiful weather, Arizona has become a hotbed for hikers, runners, golfers, pickleball players and all types of weekend warriors.

Stock market today: Asian shares rise with eyes on prices, war in Middle East