U.S. stock markets are trading unevenly in early Friday trading. Attention is on the U.S. 10-year Treasury yield, which is at historically high levels. At the same time, oil prices are falling.
U.S. Trade Representative Jamieson Greer told CNBC that the U.S. and China have reached agreements on more favorable trade terms for certain goods.
The University of Michigan consumer sentiment index was revised up to 48.1 in September, from a preliminary 47.8. Analyst expectations were 47.5, according to Bloomberg.
The broad S&P 500 index was down 0.1 percent at 7,699.87 at around 16.09. The technology-heavy Nasdaq Composite was down 0.1 percent at 26,904.38.
By sector, industrials are showing the best performance, up 0.45 percent, while telecom is showing the weakest performance, down 0.99 percent.
Media reports indicate that the Federal Reserve is in the process of raising the asset thresholds that trigger stricter oversight of U.S. banks.
Retail giant Costco Wholesale rose 2.4 percent after reporting earnings per share that were better than expected. Comparable sales increased 9.4 percent, compared with market expectations of 9.0 percent.
Casino operator MGM Resorts is discussing a bid for Barry Diller’s People, which in turn owns around 27 percent of MGM. The Wall Street Journal reports this, citing sources. A potential bid could come within a few days, but MGM may still abstain. People, which recently withdrew its own bid for MGM, has a market capitalization of approximately 2.7 billion dollars. The company’s stake in MGM is worth around 2.5 billion dollars. MGM fell 1.2 percent and People surged 8.9 percent.
Industrial company Eaton has agreed to acquire Italy’s Col Group from Oaktree’s Power Opportunities for an enterprise value of 810 million euros. The acquisition is expected to strengthen Eaton’s capacity in data centers and power grids in EMEA. The deal is expected to close during the first quarter of 2027 following customary approvals. Eaton rose 0.1 percent.
Bank of America downgraded Nike to underperform. The bank believes the turnaround will take longer than expected and now expects negative sales growth through fiscal year 2027. Nike fell 0.7 percent.
HSBC downgraded communications platform Twilio to reduce. Twilio fell 6.5 percent.
The yield on the U.S. 10-year bond rose 2 basis points to 5.21 percent.
Brent crude fell 1.43 percent to 98.79 dollars and WTI crude fell 1.32 percent to 93.36 dollars.
IndexPriceChange todayChange this yearS&P 5007 699,87-0,06%12,48%Nasdaq Composite26 904,38-0,13%15,76%Consumer discretionary1 822,25-0,52%-5,51%Consumer staples912,850,04%5,55%Energy950,94-0,90%38,35%Financials907,86-0,03%-0,41%Health care1 973,49-0,45%9,28%Industrials1 436,510,45%9,39%Materials628,24-0,14%9,37%Real estate267,15-0,10%4,75%IT7 245,430,30%27,47%Utilities398,96-0,28%-8,03%Telecom474,87-0,99%4,97%Source: Factset
