Stock market today: Wall Street drifts, and yields rise after solid data on the economy
Wall Street is drifting following signals the job market remains solid, though it may be a touch too strong
NEW YORK — Wall Street is drifting Thursday following signals that the job market remains solid, though it may be a touch too strong.
The S&P 500 was 0.2% higher in midday trading. The Dow Jones Industrial Average was up 138 points, or 0.4%, as of 12:30 p.m. Eastern time, and the Nasdaq composite was virtually unchanged.
Eli Lilly rose 1.7% and was one of the strongest forces pushing upward on the S&P 500 after it launched a way to help customers get to its treatments for obesity, migraine and diabetes. Walgreens Boots Alliance sank 7.7% after it nearly halved its dividend so it could hold onto more cash.
U.S. stocks have broadly regressed this week after rallying nine straight weeks into the end of last year. Critics said the market was due for at least a breather following the big run, which fed on hopes that inflation has cooled enough for the Federal Reserve to cut interest rates sharply this year.
Rate cuts give prices for stocks and other investments a boost, while also relaxing the pressure on the economy and financial system. Treasury yields in the bond market have already eased since autumn on hopes for such cuts, releasing pressure on the stock market.
But Treasury yields rose Thursday following a couple reports on the job market that were stronger than expected. The economy is in a delicate phase where investors want it to remain solid, but not too hot.
A healthy job market is of course good for workers and stamps out worries about an imminent recession. But too much strength could prod the Federal Reserve to keep interest rates high because it could keep upward pressure on inflation. And the Fed has
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