US Markets Open Solidly Higher 09/02 09:23
U.S. and global stock markets were recovering in early morning trading
Wednesday after a sharp sell-off a day earlier. Still, investors remain on edge
after a plunge in stocks Tuesday that was triggered by reports showing slowing
growth in China.
NEW YORK (AP) -- U.S. and global stock markets were recovering in early
morning trading Wednesday after a sharp sell-off a day earlier. Still,
investors remain on edge after a plunge in stocks Tuesday that was triggered by
reports showing slowing growth in China.
KEEPING SCORE: The Dow Jones industrial average rose 177 points, or 1.1
percent, to 16,237 as of 10:15 a.m. Eastern time. The Standard & Poor's 500
index climbed 19 points, or 1 percent, to 1,933 and the Nasdaq composite gained
59 points, or 1.3 percent, to 4,695.
The gains follow a volatile Tuesday on Wall Street, where the Dow fell 470
points in a heavily-traded session.
CHINA TRADING: China remains in focus across financial markets. The Shanghai
composite index opened more than 4 percent lower, but turned positive by midday
and eventually ended the day down only 0.2 percent. The volatile trading led
some analysts to suspect Beijing was intervening to support share prices
heading into a two-day holiday.
JOBS, JOBS, JOBS: A private survey showed that U.S. businesses added jobs at
a steady pace last month, with construction and manufacturing showing solid
gains. The payroll processor ADP said businesses added 190,000 jobs last month,
up from 177,000 in July, but below a six-month high set in June of 231,000.
The ADP report comes before Friday's August jobs report. Economists are
forecasting that U.S. employers created 220,000 jobs in August, and that the
unemployment rate fell to 5.2 percent.
It will be the last jobs report Federal Reserve policymakers have before
their next policy meeting later this month. Some economists expect the Fed to
raise interest rates for the first time in close to a decade after the meeting.
ASIA SCORECARD: Tracking Chinese shares, Asian benchmarks swung between
gains and losses. Hong Kong's Hang Seng sank 1.2 percent while South Korea's
Kospi ended nearly. Japan's benchmark Nikkei 225 index slipped 0.4 percent.
ENERGY: Benchmark U.S. crude oil rose 5 cents to $45.45 a barrel in
electronic trading on the New York Mercantile Exchange. Brent Crude, a
benchmark for international oils used by many U.S. refineries, rose 50 cents to
$50.10 a barrel in London.
BONDS AND CURRENCIES: Government bond prices fell, pushing up the yield on
the benchmark 10-year Treasury note to 2.19 percent from 2.15 percent on
The euro was 0.3 percent lower at $1.1239, a day ahead of the European
Central Bank's latest policy meeting. The dollar meanwhile rose 0.4 percent to