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US STOCKS-Dow ends higher for 6th session, but Treasury yields pressure market
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US STOCKS-Dow ends higher for 6th session, but Treasury yields pressure market
May 8, 2024 1:59 PM

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Dow's 6th straight win; best since 9-session stretch in

Dec

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Uber ( UBER ) falls on weak Q2 gross bookings forecast

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Intel ( INTC ) down after Q2 revenue warning

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Utilities index up for 14th session in last 16

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Indexes: S&P 500 flat, Nasdaq off 0.18%, Dow up 0.44%

(Updates with closing prices)

By David French

May 8 (Reuters) - The Dow Jones Industrial Average ended

higher on Wednesday, stretching its winning streak to six

straight and closing above 39,000 points for the first time in

five weeks, as investors kept betting on supportive U.S.

monetary policy.

The other Wall Street benchmarks cooled a touch as momentum

stalled and U.S. Treasury yields rose on the day of a 10-year

notes auction. The S&P 500 ended unchanged after four sessions

of gains, and the Nasdaq Composite slipped to a second

consecutive decline.

There was not much news to move the indexes, outside of

reports from individual companies.

"We're just waiting for the next catalyst to jump-start the

direction in the market, and we're probably going to get that

next week," said Ameriprise Chief Market Strategist Anthony

Saglimbene. The Producer Price Index (PPI) is due on May 14, and

the Consumer Price Index (CPI) scheduled for May 15.

"I think traders are reluctant to take broader stocks or

broader averages higher, until they get a fresh update on

inflation," he added.

The S&P 500 has leveled off close to the 5,200 mark, which

it last closed above on April 9. On Wednesday, it was hampered

by sliding shares of Uber ( UBER ) which posted a surprise

quarterly loss and issued a downbeat forecast.

The ride-hailing platform fell 5.7%, was among the S&P 500's

biggest decliners, after it forecast second-quarter gross

bookings would not meet expectations.

Tesla fell 1.7% after Reuters reported U.S.

prosecutors were examining whether the company committed

securities or wire fraud by misleading investors and consumers

about self-driving capabilities of its electric vehicles.

Other megacap stocks such as Nvidia ( NVDA ), Amazon ( AMZN )

and Alphabet slipped between 0.2% and 1.1%,

as the 10-year Treasury yield edged up.

Rising yields helped dampen optimism spurred by a positive

earnings season and softer-than-expected labor market data last

week that had tempered concerns about the Federal Reserve

keeping interest rates higher for longer.

Traders are pricing in a 67% chance of the Fed cutting rates

by at least 25 basis points in September, according to the

CMEGroup's Fedwatch tool, up from about 54% a week ago.

Fed policymakers who spoke on Wednesday stayed consistent to

recent messaging, including at the U.S. central bank's policy

meeting last week.

Boston President Susan Collins said the current setting of

monetary policy will slow the economy in the way she believes

will be necessary to get inflation back to the Fed's 2% target.

The Dow Jones Industrial Average rose 172.13 points,

or 0.44%, to 39,056.39, the S&P 500 lost 0.03 points, or

0.00%, to 5,187.67 and the Nasdaq Composite lost 29.80

points, or 0.18%, to 16,302.76.

Among S&P sectors, utilities rose 1.1%, extending

its run of higher finishes to 14 out of the last 16 sessions,

boosted as Vistra Corp ( VST ) jumped 9.1% after reporting

strong earnings.

However, seven of the 11 sectors declined, with real estate

, materials and consumer discretionary

the worst performers.

Intel ( INTC ) fell 2.2% after warning of a sales hit from

the U.S. revoking some of the chipmaker's export licenses for

China.

Tripadvisor ( TRIP ) tumbled 28.7%, its largest ever one-day

percentage drop, after the online travel agency ruled out a

possible sale at this time and posted a surprise quarterly loss.

Uber ( UBER ) rival Lyft ( LYFT ) climbed 7.1% after projecting

higher-than-expected gross bookings and a core profit for the

current quarter.

The S&P 500 posted 32 new 52-week highs and 3 new lows while

the Nasdaq recorded 100 new highs and 83 new lows.

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