On Wednesday, the Dow Jones Industrial Average experienced a decline, potentially halting its nine-day winning streak, as the stock market indicated a pause. Simultaneously, investors absorbed data on consumer confidence and home sales, while shipping behemoth FedEx (FDX) saw a significant drop following a disappointing earnings report.
As of Wednesday’s opening bell, the Dow Jones Industrial Average slipped by 0.1%, while the S&P 500 showed a marginal 0.1% increase. In the morning session, the Nasdaq composite, dominated by technology stocks, advanced by 0.2%.
Among notable U.S. exchange-traded funds, the Invesco QQQ Trust (QQQ), tracking the Nasdaq 100, edged up by 0.1%, while the SPDR S&P 500 ETF (SPY) experienced a 0.15% decline early on Wednesday.
The yield on the 10-year U.S. Treasury bond continued to decrease, reaching 3.89% in morning trading. In the previous session, the benchmark had rebounded to 3.92%, just shy of its lowest level since late July.
Crude oil prices extended their five-day recovery, with West Texas Intermediate (WTI) futures climbing over 1%, approaching the $75 per barrel mark. WTI had hit its lowest level since late June last week before rebounding.
Home Sales and Consumer Confidence Data
Shortly after the market opened, the National Association of Realtors reported that existing-home sales for November surpassed estimates, reaching an annual rate of 3.82 million.
Additionally, the consumer confidence index surged to 110.7 in December, up from the November reading of 102.0. The Conference Board’s report reflects current business conditions and anticipated developments in the coming months.
FedEx disclosed its fiscal second-quarter earnings and revenue results after Tuesday’s close, falling short of expectations. In response, FDX stock plummeted by over 10% in the morning session.
Other noteworthy earnings reports included General Mills (GIS) and Toro (TTC). General Mills shares experienced a 3.8% decline in early trading, while Toro stock surged by 13%.
Finally, late on Wednesday, Micron Technology (MU) is scheduled to release its quarterly earnings results.
