While you were sleeping: UPDATED US stocks rise ahead of jobs data
Contraction in US manufacturing adds to investor caution.
Contraction in US manufacturing adds to investor caution.
Energy and financial shares fell on Wall Street but major US stock indexes were little changed as investors looked ahead to Friday’s jobs report.
The August data will be a factor for US Federal Reserve officials as they contemplate further interest-rate increases.
US Treasurys rose and the greenback fell as a report showed a contraction in US manufacturing. Oil prices weakened.
An Institute of Supply Management report showed US factory activity contracted for the first time in six months in August.
"Both the lower oil prices and the ISM show weakness in the economy," Tim Ghriskey, chief investment officer of Solaris Asset Management in New York, told Reuters.
"There's fear that there's a disconnect between what the Fed might do and what the data is showing us."
Separately, a Labor Department report showed initial claims for state unemployment benefits rose 2000 to a seasonally adjusted 263,000 for the week ended August 27.
Dow rises 18 points
At the close, the Dow Jones Industrial Average was up 18.42 points, or 0.1%, to 18,419.30. The Nasdaq Composite Index gained 0.3% to 5227.21 while the Standard & Poor's 500 Index was unchanged at 2170.86.
In the Dow, declines in shares of American Express and those of Chevron, down 1.3% and 1.0% respectively, outweighed gains by Wal-Mart and Nike, up 1.8% and 1.3% respectively.
Shares of Campbell Soup dropped 6.3% after the company offered a disappointing earnings outlook as it struggles with its fresh food business, notably higher costs and lower sales for carrots.
"The performance of our Campbell Fresh business, driven predominantly by execution issues, is disappointing." Denise Morrison, Campbell's chief executive officer, said in a statement.
"We have taken and are taking steps designed to ensure the business performs to its potential.
"We remain confident in our Campbell Fresh strategy and its ability to deliver long-term growth consistent with its portfolio role, as the business remains well-positioned to capitalise on the health and well-being consumer trend."
Campbell increased its quarterly dividend to 35USc from 31.2USc, "reflecting its confidence in its long-term growth prospects."
Wal-Mart gains on redundancies
Wal-Mart shares gained after the company announced plans to axe about 7000 back-office jobs.
Shares of Wynn Resorts jumped 4.3% after Macau, the world's No 1 casino hub, reported its first increase in gaming revenue in more than two years.
"We need to wait for at least one more month to see if growth can be sustained, and if new casinos will bring more visitors during the peak Golden Week," China International Capital Corp analyst Chris Kwai told Bloomberg.
"Compared with no growth or even a slight drop, a slight uptick is a big impact on market sentiment."
US crude oil fell 3.5% to $US43.16 a barrel after losing 3.6% in the previous session.
In Europe, the Stoxx 600 Index finished the session with a gain of less than 0.1%. France's CAC 40 index edged 0.03% higher. The UK's FTSE 100 Index slid 0.5%, while Germany's DAX index dropped 0.6%.
(BusinessDesk)
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