Stock market today: Wall Street holds a bit steadier as it closes out an ugly week
Wall Street’s dismal run is getting a bit of a reprieve, and stocks are ticking higher
NEW YORK — Wall Street’s dismal run is getting a bit of a reprieve, and stocks are ticking higher on Friday, but it’s still heading for its third losing week in a row.
The S&P 500 was up 0.4% in afternoon trading, coming off an ugly slide caused by the stock market’s growing understanding that interest rates likely won’t come down much anytime soon. The Dow Jones Industrial Average was up 37 points, or 0.1%, at 34,107, as of 12:28 p.m. Eastern time, and the Nasdaq composite was 0.8% higher.
Pressure has built on Wall Street as yields in the bond market climb to their highest levels in more than a decade. They’ve been rising for months and accelerated this week after the Federal Reserve indicated it’s unlikely to cut its main interest rate by as much in 2024 as investors had hoped. The federal funds rate is at its highest level since 2001, which grinds down on investment prices as it undercuts high inflation.
Yields were easing a bit Friday, which reduced the pressure on the stock market. The yield on the 10-year Treasury slipped to 4.45% from 4.50% late Thursday. It’s still near its highest level since 2007.
The two-year Treasury yield, which moves more closely with expectations for the Fed, dipped to 5.11% from 5.15%.
When bonds are paying more in interest, investors are less willing to pay high prices for stocks. High rates hit particularly hard on stocks seen as the most expensive or forcing investors to wait the longest for big growth in the future.
Recently, that’s meant pain for technology stocks. Nvidia trimmed its loss for the week to 4.6% after rising 2.1% Friday. The Nasdaq composite, which is full of tech and other
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