Slight Rebound in Stocks A Day After Sell-off, 2-year Yield at 15-year High

Barry Adams
14 Sep, 2022
New York City

Benchmark indexes on Wall Street struggled around the flat-line a day after major averages recorded this year's worst losses and fell the most in two years.  

Major averages struggled to stay in the positive zone after four attempts in choppy trading and accelerated the decline in the final hour of trading. 

Popular indexes managed to rebound in the final 20 minutes of trading and closed marginally higher in the session. 

The S&P 500 index increased 0.3% to 3,946.01 and the Nasdaq Composite index added 0.7% to 11,719.84. 

Tech stocks rebounded on the hopes that Tuesday's sell-off was overdone but nervous investors worried a sustained rally in less likely until there is a clarity on the inflation front. 

Apple, Tesla, IBM, Microsoft, Google and Amazon added between 0.5% and 1.5%.  

Oil complex stocks gained after crude oil and natural gas prices continued to advance. 

APA, Marathon Oil, Hess, Exxon Mobil, Chevron and Schlumberger gained between 2% and 4.5%. 

Crude oil price rebounded 2% and reached a one-week high nearing $89 a barrel. 

Crude oil prices advanced $1.55 to $88.67 a barrel and natural gas increased 82 cents to $9.10 a thermal unit. 

Producer prices, a measure of wholesale prices, declined 0.1% in August after falling 0.4% in July, the second monthly decline in a row. 

Gasoline prices fell 12.7% but services prices rose 0.4%, the fourth monthly increase in a row. 

On a yearly basis, producer prices slowed to 8.7% in August from 9.8% in July. the U.S. Bureau of Labor Statistics reported Wednesday.   

The yield on 2-year Treasury notes increased to 3.80%, 10-year notes edged up to 3.40% and 30-year bonds eased to 3.46%. 

 

European Leaders Plan to Intervene In Energy Markets 

Market indexes in Europe swung between losses and gains as investors focused on faster and larger rate increase outlook in the U.S. 

Energy policy was also in focus in the region after President Ursula von der Leyen said that the European Commission is considering intervening in the energy markets including price caps and revenue caps on low-cost electricity producers. 

The market interventions are expected to generate