Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Wall Street Opens Higher as Growth Fears Recede; Dow up 110 Pts

Stock MarketsSep 10, 2021 15:18
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Geoffrey Smith 

Investing.com -- U.S. stock markets opened higher on Friday, sentiment boosted by the first call between the U.S. and Chinese presidents in seven months - even if no obvious progress was made in reducing tension between the world's two biggest economies.

By 9:40 AM ET (1340 GMT), the Dow Jones Industrial Average was up 116 points, or 0.3%, at 34,995 points. The S&P 500 was up 0.4% and the Nasdaq Composite was up 0.5%.

The market shrugged off potentially negative news such as another multiyear high for producer price inflation, which accelerated to 8.3% in August from 7.8% in July, driven by a broad range of products rather than just meat and poultry, as one White House briefing this week had tried to depict. The market also shrugged off reports of Democratic senators presenting their plans to tax stock buybacks and close tax loopholes regarding remuneration of partnerships.

"The economic data continue to show sharply rising prices, which put pressure on fiscal and monetary authorities to adjust policy to prevent economic overheating," said Stephen Dover (NYSE:DOV), chief market strategist with Franklin Templeton, in a blog post before the publication of the PPI data. Comments out of the Federal Reserve this week have tended on balance to indicate that the Fed will likely signal a gradual tapering of its $120 billion monthly bond purchases from November onward.

On the upside, some market participants have been encouraged by signs that the U.S. Covid-19 infection curve is starting to dip, although that has come too late to stop three of the country's biggest airlines posting profit warnings on Thursday. Microsoft (NASDAQ:MSFT) on Thursday became the latest large-scale employer to scrap its plans to return the workforce to the office, following similar actions by a number of Big Tech and Wall Street names. 

Among the standout movers in early trading were Traeger (NYSE:COOK) stock, which gapped down 6.9% after the maker of smart grills disappointed with its first results since listing as a public company. Kroger (NYSE:KR) stock fell 7.1% after the grocery store chain also reported weak quarterly numbers. 

To the upside, Affirm (NASDAQ:AFRM) stock rose 22% after its quarterly report underlined how the buy-now-pay-later fintech is rapidly scaling up. That process is set to be accelerated even further when its intended partnership with Amazon (NASDAQ:AMZN) goes live. 

Chipmaking stocks were also in the ascendant, again, amid the ongoing shortage of their products which appears set to last well into next year. Intel (NASDAQ:INTC) stock was up 2.5% while Qualcomm (NASDAQ:QCOM) stock was up 2.9%. Both stand to gain from a relaxation of the rules in supplying high-tech components to China, a hope encouraged by the call between Joe Biden and Xi Jinping. 

Elsewhere, Peloton Interactive (NASDAQ:PTON) stock extended gains after rising 10% on Thursday in response to the company's announcement of plans for an own-apparel brand. The stock was up 5.1%. By contrast, Take Two Interactive Software stock fell 2.5% after pushing back the launch of its new iterations of Grand Theft Auto until well into next year.

Wall Street Opens Higher as Growth Fears Recede; Dow up 110 Pts
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email