Stocks Defy Gloomy Data to Close Near Day’s High: Markets Wrap
- Dollar gains; New York manufacturing gauge signals downturn
- Crude oil, industrial metals tumble as China’s data disappoint
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US stocks rose for a second day in a row, with megacaps catching bids as investors digested weak data on New York manufacturing and the Chinese economy. Treasuries gained with the dollar, while commodities from oil to iron ore tumbled.
The S&P 500 closed near highs of the day, reversing losses of as much as 0.5%, with only energy and materials sectors ending in the red. The tech-heavy Nasdaq 100 outperformed, with Tesla Inc., Apple Inc., Microsoft Corp. and Nvidia Corp. leading gains. Treasury yields declined and the bond curve remained deeply inverted, pointing to potential risks of a US recession as the Federal Reserve tightens monetary policy.