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.
Bath & Body Works said quarterly sales edged lower after the pandemic stimulus fueled sales increase waned and guided lower earnings in the current quarter and for the full-year.
BBBY
BBBY
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.
Children's Place reported a sharp decline in sales after record low temperatures and thin wallets kept consumers away. The retailer lowered annual sales outlook and plans to close 50 stores in the year.
PLCE
PLCE
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.
Cisco Systems reported flat quarterly sales and guided sales decline in the current quarter ending in July. The networking company returned $1.8 billion to shareholders in the fiscal third quarter.
CSCO
CSCO
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.
Lowe's Companies reported weaker than expected sales and earnings after comparable sales fell in the quarter on tough comparison. Customers also searched for energy efficient products.
LOW
LOW
Target Corp earnings plunged more than 50% after the company struggled with inventories mismatched and rising operating costs. The company also guided weak operating margin in the second quarter and for the rest of the year.
TGT
TGT