Nasdaq, S&P 500 Regain Ground, Dow Sees Further Downside
Following the notable pullback seen over the two previous sessions, the major U.S. stock indexes turned in a mixed performance during trading on Thursday. While the Nasdaq and the S&P 500 regained some ground, the narrower Dow saw further downside.
The tech-heavy Nasdaq climbed 81.58 points or 0.5 percent to 15,704.28 after underperforming its counterparts in the previous session.
The S&P 500 also inched up 2.56 points or 0.1 percent to 4,649.27, while the Dow slid 158.71 points or 0.4 percent to 35,921.23.
The rebound by the Nasdaq and S&P 500 came as some traders looked to pick up stocks at somewhat reduced levels after the drop seen on Tuesday and Wednesday dragged the major averages down well off Monday’s record closing highs.
Nonetheless, overall trading activity remained somewhat subdued, as some traders stuck to the sidelines amid the Veterans Day holiday.
While the stock markets were open as usual on the day, banks, federal offices and the bonds markets all remained closed.
Lingering concerns about inflation also limited buying interest after Wednesday’s Labor Department report showing consumer prices rose at their fastest annual rate in over thirty years in October.
A notable decline by shares of Disney (DIS) weighed on the Dow, with the entertainment giant slumping by 7.1 percent.
The drop by Disney came after the company reported third quarter results that missed analyst estimates on both the top and bottom lines. Disney+ subscriptions also came in below expectations.
Steel stocks showed a substantial move back to the upside on the day, with the NSYE Arca Steel Index surging up by 3.8 percent after ending the previous session at its lowest closing level in over seven months.
Significant strength was also visible among gold stocks, as reflected by the 2.6 percent jump by the NYSE Arca Gold Bugs Index. The index ended the session at a nearly five-month closing high.
The rally by gold stocks came as the price of gold for December extended a recent upward move, climbing $15.60 to $1,863.90 an ounce.
Semiconductor, natural gas and computer hardware also regained ground after coming under pressure during trading on Wednesday.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Thursday. Japan’s Nikkei 225 Index climbed by 0.6 percent, while Australia’s S&P/ASX 200 Index fell by 0.6 percent.
Meanwhile, the major European markets all moved higher on the day. While the U.K.’s FTSE 100 Index rose by 0.6 percent, the French CAC 40 Index and the German DAX Index edged up by 0.2 percent and 0.1 percent, respectively.
The bond markets were closed for Veterans Day after treasuries showed a substantial move to the downside during trading on Wednesday.
Following a quiet day on the U.S. economic front, trading on Friday may be impacted by reaction to the University of Michigan’s preliminary report on consumer sentiment in the month of November.
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