Dow ends lower, Nasdaq gains 1% as Wall Street shrugs off Russia's nuclear shift
After a short geopolitical interruption, Wall Street surged on Tuesday,...
After a short geopolitical interruption, Wall Street surged on Tuesday, helped by Walmart (WMT) and Nvidia (NVDA).
Mounting Ukraine concerns sent major indexes down sharply just before the open as Russia spooked the market by lowering its threshold for a nuclear strike. This followed the Biden administration allowing Ukraine to use long-range missiles supplied by the United States. These developments initially overshadowed Walmart'ssolid results and anticipation ahead of earnings from Nvidia tomorrow afternoon.
By late morning, however, the overseas news was digested and stocks clawed back. The market gained traction as the closing bell approached and volatility slipped from early peaks. Here's where the major benchmarks ended:
The S&P 500® index (SPX) was up 23.36 points (0.4%) to 5916.98; the Dow Jones Industrial Average® ($DJI) dipped 120.66 points (0.28%) to 43,268.94; and the Nasdaq Composite®($COMP) rose 195.66 points (1.04%) to 18,987.49.
The 10-year Treasury note yield fell four basis points to 4.38%.
The CBOE Volatility Index®(VIX) eased to 16.04 after an earlier pop above 17.
In sector action, info tech and communication services led the way thanks to mega-cap strength. Still, real estate and utilities—both traditionally defensive plays—also found some buyers amid the geopolitical tension. So did large U.S. armaments companies. Energy stocks fell despite a bounce in crude related to the Ukraine events.
US Gasoline Prices Set To Fall Below $3 per Gallon Ahead of Thanksgiving
The average U.S. gasoline prices are on track to fall below the $3-a-gallon...
The average U.S. gasoline prices are on track to fall below the $3-a-gallon level, just in time for Thanksgiving and the busy holiday travel season. According to the American Automobile Association (AAA), average U.S. gas prices stood at $3.071 per gallon on Monday compared to $3.191 a month ago and $3.320 a year ago. Gas prices are not at the lowest level since January, and just a few cents above its 2021 level. Prices are on track to fall further as West Texas Intermediate crude clings near its lowest level since September.
“While the election has come and gone, gas prices have stayed the course, with the national average price of gasoline declining for a fourth consecutive week as seasonal demand weakens and Americans begin to take refuge from falling temperatures,” said Patrick De Haan, head of petroleum analysis at GasBuddy.
De Haan noted that some 28 U.S. states now enjoy average gas prices below $3 per gallon, as projected in GasBuddy’s annualFuel Outlookfrom last December.
Despite the Mountain Valley Pipeline's recent completion, Appalachia's...
Despite the Mountain Valley Pipeline's recent completion, Appalachia's energy infrastructure remains constrained, with no new natural gas pipelines yet on the horizon. Industry leaders at the recent DUG Appalachia Conference agree that while legal and regulatory hurdles persist, commercial viability of new pipeline projects in Appalachia is primarily determined by demand and gas prices.
Americans Also Voted to Protect Access to Natural Gas
Under-noticed after the recent election were a couple of clear signs...
Under-noticed after the recent election were a couple of clear signs that, even in the bluest of states, Americans don't take kindly to the government trying to mandate and restrict their energy choices. In Washington state, voters passed Initiative 2066, requiring the state's utilities to provide natural gas service to any person or business requesting it. Meanwhile, voters in Berkeley, California -- the first US city to try to ban natural gas altogether -- rejected a proposed tax on using natural gas in new buildings.
Crude prices struggle to build on Monday bounce as major oil field resumes output
Crude futures edged lower Tuesday after news reports...
Crude futures edged lower Tuesday after news reports said Equinor had resumed partial production at Norway’s massive Johan Sverdup oil field after it had been shut down by a power outage, though downside was limited by concerns around developments in the Russia-Ukraine war.
Russian President Vladimir Putin on Tuesday signed a revised nuclear doctrine declaring that a conventional attack on Russia by any nation that is supported by a nuclear power will be considered a joint attack on his country. It follows President Joe Biden’s weekend decision to allow Ukraine to use long-range missiles to strike deep into Russian territory.
Oil rose Monday over 3% on a combination of factors, including the outage at the Johan Sverdup field, which produces 755,000 barrels a day, as well as a softer U.S. dollar and concerns about intensified fighting between Ukraine and Russia, a major oil producer.
As of around 7:45 AM ET, Tuesday morning, here is a snapshot of prices:
West Texas Intermediate crude for December delivery down 33 cents to $68.83 a barrel on the New York Mercantile Exchange.
January Brent crude, the global benchmark, was down 18 cents at $73.12 a barrel on NYMEX.
