U.S. Stocks Rebound, Oil Jumps 5%

Barry Adams
03 Oct, 2022
New York City

Stocks on Wall Street rebounded after a difficult month and quarter as bond yield edged slightly lower. 

The S&P 500 index and the Nasdaq Composite index declined for the third quarter in a row and investors bid up stocks on the first trading of the fourth quarter. 

Investors are also bracing for earnings revisions ahead of the earnings season kickoff next week. 

The S&P 500 index increased 1.1% to 3,624.84 and the Nasdaq Composite index rose 80.40 or 0.7% to 11,062.56.  

Energy complex stocks led the gainers on Wall Street. Exxon Mobil, Chevron, Hess and Schlumberger jumped between 4% and 5%. 

Tesla Inc declined 6.9% to $246.49 after the company announced record deliveries of 343,000 electric vehicles in the third quarter. 

The stock edged lower after the company missed earlier delivery projections, despite the record deliveries. 

 

Treasury Yields Edge Lower 

The yield on 2-year Treasury notes decreased to 4.12%, 10-year notes dropped to 3.68% and 30-year bonds fell to 3.66%. 

 

Oil Jumps 5% 

Crude oil prices jumped more than 5% ahead of the meeting of OPEC+ nations this Wednesday. 

The energy producing nations are expected to cut as much as one million barrels a day to lift the price of oil. 

Crude oil jumped $4.83 to $84.34 to a barrel  and natural gas declined 31 cents to $6.46. 

Brent crude oil jumped 5.2% to $89.56 and the TTF natural gas price declined 6.1% to 177.26 euros a megawatt hour. 

 

Pound Rebounds After UK Govt U Turn

European markets advanced after a week of losses and the British government reversed its recent tax proposal in the mini-budget. 

The mini-budget included several tax provisions but the finance minister was forced to reverse some of the proposals after bond and currency markets perceived the measure more inflationary than growth driver. 

Finance minister Kwasi Kwarteng said that the government will not cut tax rate to 40% from 45% for income higher than 150,000 pounds. 

The euro edged lower to 97.65 U.S. cents and the British pound edged higher to $1.12. 

 

Swiss Inflation Drops in September 

Inflation rate in Switzerland unexpectedly declined to 3.3% in September from 3.5% in August, the Swiss Federal Statistics Office said Monday. 

 

European Stock Movers 

The DAX index roe 0.4% to 12,169.9, the CAC 40 index gained 0.07% to 5,766.90 and the FTSE 100 index decreased 0.2% to 6,880.61. 

Credit Suisse AG dropped 5.9% to 3.61 Swiss francs and the troubled investment bank assured investors over the weekend about the health of the company. 

Natuzzi SpA jumped 15.3% to $6.79 after the Italy-based leather furniture maker reported sixth consecutive quarterly revenue growth in a row. 

Revenue in the fiscal second quarter increased 7.8% to