US stocks rise as treasury yields climb
The yield on the 10-year US Treasury had dropped to near record lows early Wednesday before steadying somewhat as stocks shook off an early rout to finish flat.
Wednesday’s volatile session “suggests the panic phase of the reaction to the August 1 tariff announcement and China’s quick reaction to it is over,” said a note from Chris Low of FTN Financial.
“Traders are braced for the worst but there is not yet data supporting their fears,” Low said. “Global recession is a risk but not a certainty.”
About 20 minutes into trading, the Dow Jones Industrial Average stood at 26,056.69, up 0.2 percent.
The broad-based S&P 500 rose 0.4 percent to 2,896.37, while the tech-rich Nasdaq Composite Index gained 0.5 percent to 7,900.35.
Kraft Heinz plunged 14 percent as it wrote down the value of several businesses due to lowered expectations. Net sales through the first six months of 2019 fell nearly five percent to $12.4 billion.
Symantec surged 9.5 percent following reports it is close to being acquired by Broadcom for around $10 billion. Broadcom lost 1.8 percent.
