U.S. stocks tick higher while treasuries dip
BNN Bloomberg
U.S. stocks moved higher in early trading on Wednesday as investors assessed the economic implications of the omicron coronavirus outbreak. Treasury yields rose.
U.S. stocks moved higher in early trading on Wednesday as investors assessed the economic implications of the omicron coronavirus outbreak. Treasury yields rose.
A rebound in tech shares led gains in the S&P 500 while Nasdaq 100 outperformed, after a rally in U.S. stocks stalled on Tuesday. Tesla Inc. gained after Chief Executive Elon Musk sold a further US$1.02 billion off shares, taking him close to his target of reducing his stake in the electric-car maker by 10 per cent. The yield on 10-year Treasuries climbed back above 1.50 per cent.
Omicron fears are easing on growing evidence that the fast-spreading strain leads to milder symptoms, even as worldwide COVID-19 cases rose above 1 million for a second straight day. But the coronavirus along with Federal Reserve policy tightening and China’s outlook rank among the key risks for 2022.
“We just might get a relatively calm last week of the year after all,” Matt Maley, chief market strategist for Miller Tabak + Co. wrote. “That said, thin markets can change on a dime, so investors will want to stay nimble over the next three days.”
The dollar was steady against major peers. Crude oil slipped, and iron ore futures in Singapore and China declined for a third day. Bitcoin stayed below US$48,000 after a tumble that hinted at diminished ardor for the most speculative assets.
