Shares are mostly higher in Asia and U.S. futures have edged higher, while oil prices advanced. South Korea's Kospi index jumped 4% on a rebound for computer chipmakers. Samsung Electronics gained 7.7% and memory chipmaker SK Hynix was up 7.1%. On Tuesday, the S&P 500 fell 0.3% and the Dow Jones Industrial Average dipped 0.3%. The Nasdaq composite sank 0.6%. The price for a barrel of Brent crude was about $89, up nearly 1%. Higher oil prices make inflation worse. That has investors focused on Wednesday's release of the latest monthly reading on inflation in the U.S. Economists expect it to show inflation slipped to 3.4% in July from 3.5% in June.
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U.S. stocks slipped a bit further from their records, while oil prices kept swinging on uncertainty about when the war with Iran will allow crude to flow freely again. The S&P 500 fell 0.3% Tuesday for a second modest drop since setting its all-time high at the end of last week. The Dow Jones Industrial Average dipped 0.3%, and the Nasdaq composite sank 0.6%. The price for a barrel of Brent crude rose 1.4% to $88.91 after earlier swinging between $87 and $90. Treasury yields eased in the bond market.
President Donald Trump likes to say he started his war with Iran after 50 years of economic pressure failed to stop its nuclear weapons ambitions. But now the Republican president is betting another financial squeeze can end the war. Trump's administration hopes months of bombing have pushed Iran’s economy to a breaking point that will force its leadership to cave to demands to end its nuclear program and fully reopen the Strait of Hormuz to oil and natural gas tankers. It’s part of a larger pivot by Trump to argue Iran is on the cusp of financially collapsing, even though it's already endured decades of financial sanctions. Iran suggests the U.S. is “incapable of pursuing diplomacy.”
The U.S. stock market edged down from its all-time high, while oil prices rose on uncertainty about when the Strait of Hormuz could reopen and get the global flow of crude going again. The S&P 500 slipped 0.1% Monday. The Dow Jones Industrial Average dipped 0.1%, and the Nasdaq composite fell 0.3%. Intel weighed on the market after saying it may sell $15 billion of its stock to raise cash to take advantage of the AI frenzy. That helped offset Berkshire Hathaway's gain after it became one of the latest U.S. companies to deliver a better profit for the spring than expected. Brent crude rose 5%.
Reports on inflation and retail sales are the central updates for Wall Street this week. The reports help give investors and economists a better sense of how costs for everything from gasoline to groceries are impacting sales for a wide range of businesses. That also helps give investors and economists a clearer picture on where households are spending their budgets. On Wednesday, the U.S. will release its consumer price index, or CPI, for July. On Thursday, the U.S. will release its producer price index, or PPI, for July. On Friday, the U.S. will release its retail sales report for July.
U.S. employers unexpectedly cut 23,000 jobs last month, and Labor Department revisions shaved 103,000 jobs off payrolls in May and June. The unemployment rate dipped to 4.1% only because Americans left the job market. Meanwhile, the average long-term U.S. mortgage rate rose for a fifth consecutive week to its highest level in just over a year, marking the latest strain for prospective homebuyers who are facing steep borrowing costs. The benchmark 30-year fixed rate mortgage rate rose to 6.69%, mortgage buyer Freddie Mac said Thursday, up slightly from 6.66% reported last week.
U.S. employers unexpectedly cut 23,000 jobs last month, and Labor Department revisions shaved 103,000 jobs off payrolls in May and June. The unemployment rate dipped to 4.1% only because Americans left the job market. The July jobs numbers from the Labor Department Friday marked a sharp reversal for the American labor market and amount to a political setback for President Donald Trump less than three months before his Republican party seeks to keep full control of Congress in the upcoming midterm election. Forecasters had expected job creation to approach 100,000 last month.
US employers unexpectedly cut 23,000 jobs in July amid economic strain from the Iran conflict, unemployment dips to 4.1%.
President Donald Trump has been highlighting his economic achievements, pointing to record stock market highs and claims of increased hiring, manufacturing, and investment. Some claims are true, while others are exaggerated or unclear. Ahead of the November 3 midterms, voters are frustrated with the economy and high living costs. An AP-NORC poll in late July showed only 32% of U.S. adults approved of Trump’s handling of the economy. Meanwhile, 69% described the economy as “poor,” with many citing the cost of essentials like groceries and gas as major stressors.
Stocks edged lower on Wall Street as oil prices rose and more company earnings reports rolled in. The S&P 500 fell 0.2% Thursday, and was just below the record it reached on Tuesday. The Dow Jones Industrial Average fell 0.9%, and the Nasdaq composite fell 0.1%. Warner Bros. Discovery rose after reporting better-than-expected earnings. Honeywell Aerospace slumped after turning in results that fell well short of forecasts. European markets mostly rose. The price of Brent crude rose nearly 4%. Treasury yields moved higher in the bond market.