Crude oil was trading at $30.67 late Wednesday after a late rally, 25 cents up from Tuesday’s close.
Advertisement
Earlier in the day, it appeared the market math was basic Arithmetic 101: Better data from China plus higher oil prices equals higher stock prices.
Intense selling returned to Wall Street in afternoon trading Wednesday, pushing the Dow down 365 points and slicing 3.4% off of the tech-packed Nasdaq, dashing hopes for a third straight day of gains on Wall Street and extending the financial pain in what has been a horrific start to the year on Wall Street.
JPMorgan Chase rose 2 percent after the bank reported earnings that beat forecasts. The broader Standard & Poor’s 500 ended down 2.5% and back below the key 1900 level. The Nasdaq composite added 38 points, or 0.9 percent, to 4,565.
The sell-off this year, driven by renewed jitters over China’s economy and a slump in energy prices, has pushed the S&P 500 index in correction territory, with the benchmark now down 11.29 per cent from its May 21 closing high. The S&P 500 index showed no new 52-week highs and 114 new lows, while the Nasdaq recorded 3 new highs and 389 new lows. The stock was the biggest decliner in the S&P 500 index.
SECTOR VIEW: The 10 sectors in the S&P 500 index rose, with energy notching the biggest gain, 3.3 per cent. Williams Cos. led the gainers, adding $1.76, or 12.9 per cent, to $15.41.
Looking ahead, the electronics store operator expects a 4 percent drop in revenue for its fourth quarter. It shed $2.68 to $26.58.
Already in 2016, the yuan has lost 1.2% of its value against the dollar. Brent crude, a benchmark for global oils, was up 54 cents, or 1.8 per cent, to $30.82 a barrel in London.
OVERSEAS: In Europe, Germany’s DAX dropped 1.7 percent and France’s CAC 40 slid 1.8 percent.
Tesco was the top performer, climbing 5.3 percent after lower prices and more staff helped the British supermarket chain post a better-than-expected result over the Christmas period. The Shanghai Composite rebounded almost 2.0 percent.
Advertisement
BONDS AND CURRENCIES: Bond prices rose. The 10-year Treasury yield fell to 2.05%, down sharply from its 2.27 yield at the end of 2015 and at its lowest level since late October.
