U.S. Stocks Mostly Lower Amid Concerns About Delta Variant
Following the mixed performance seen in the previous session, stocks have moved mostly lower during trading on Wednesday. The tech-heavy Nasdaq is giving back ground after ending Tuesday’s trading at a new record closing high.
Currently, the major averages are all in negative territory. The Dow is down 83.71 points or 0.2 percent at 35,016.29, the Nasdaq is down 130.73 points or 0.9 percent at 15,243.60 and the S&P 500 is down 15.06 points or 0.3 percent at 4,504.97.
The weakness on Wall Street partly reflects concerns the rapid spread of the delta variant of the coronavirus may slow the global economic recovery.
Worries about the Federal Reserve scaling back its asset purchases has also contributed to the selling pressure on the day.
Later in the day, the Fed is due to release its Beige Book, a compilation of anecdotal evidence on economic conditions in each of the twelve Fed districts.
Computer hardware stocks have shown a substantial move to the downside on the day, dragging the NYSE Arca Computer Hardware Index down by 2.3 percent.
Significant weakness is also visible among housing stocks, as reflected by the 2.2 percent slump by the Philadelphia Housing Sector Index.
Airline, oil service and steel stocks are also seeing considerable weakness, while notable strength is visible among utilities stocks.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Wednesday. Japan’s Nikkei 225 Index advanced by 0.9 percent, while Hong Kong’s Hang Seng Index edged down by 0.1 percent.
Meanwhile, the major European markets have all moved to the downside on the day. While the German DAX Index has tumbled by 1.4 percent, the French CAC 40 Index and the U.K.’s FTSE 100 Index are down by 0.8 percent and 0.7 percent, respectively.
In the bond market, treasuries are regaining ground after moving notably lower in the previous session. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is down by 1.9 basis points at 1.351 percent.
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