Popular indexes after another day of wild swings stayed near the flat but extended weekly losses not seen in decades. The S&P 500 briefly touched the bear territory and the Dow logged its eighth weekly loss, the longest streak since 1932.
The latest rate cut is among a series of steps taken by Chinese authorities to revive housing demand and spur construction and manufacturing activities as the nation prepares to emerge from stringent Covid-19 restrictions.
The S&P 500 and Nasdaq indexes opened higher but turned negative after one hour of trading. The advancing oil price extended the yearlong rise approaching 80% and is likely to keep consumer inflation elevated for the next several months.
Asian market advanced after China lowered its mortgage rate to revive the flagging housing market. However, the rate is likely to fall short in lifting the mood among builders. Consumer prices in Japan rose above the central bank's target rate.
Volatile indexes searched for direction and lacked support during the three attempts to close higher. Indexes swung several times up and down after crude oil prices remained elevated and bond yields traded in tight trading range.
Asian markets tumbled following the broad U.S. market selloff. Japan recorded its ninth monthly trade deficit in a row on rising energy prices. In Hong Kong, Ten Cents dropped after earnings were cut in half. In India, tech stocks led the decliners. Australian retail stocks led the losers.
U.S. indexes dropped sharply on the growing worries that financially strapped consumers, supply disrupted companies, and elevated energy prices are slowing the economy faster than anticipated by investors.
European markets declined more than 1% after the U.K. inflation accelerated in April to the fastest pace in nearly four decades. Elevated energy prices and supply chain disruptions also weighed on the market sentiment.
Asian markets closed mixed after Japan's economy contracted less than expected in the first quarter and industrial production rose. Resource and energy stocks lifted the Australian index 1%.
U.S. market indexes gained after three days of lackluster trading. Stocks in technology, resource, and consumer sectors drove the advance. Crude oil and U.S. benchmark bond yields increased. Home Depot and Walmart reported diverging quarterly results.
In choppy trading market indexes lacked direction as stock market battled inflation worries, crude oil advanced on higher demand expectations, and the bond market forecasted rising rates.