ANL 19.02 Increased By ▲ 0.79 (4.33%)
ASC 14.10 Increased By ▲ 0.33 (2.4%)
ASL 22.30 Increased By ▲ 0.05 (0.22%)
BOP 8.15 Increased By ▲ 0.09 (1.12%)
BYCO 7.67 Increased By ▲ 0.61 (8.64%)
FCCL 17.08 Decreased By ▼ -0.33 (-1.9%)
FFBL 22.20 Decreased By ▼ -0.05 (-0.22%)
FFL 15.60 Increased By ▲ 0.30 (1.96%)
FNEL 7.24 Decreased By ▼ -0.01 (-0.14%)
GGGL 16.94 Increased By ▲ 0.70 (4.31%)
GGL 38.74 Increased By ▲ 1.14 (3.03%)
HUMNL 6.13 Increased By ▲ 0.20 (3.37%)
JSCL 18.20 Increased By ▲ 0.30 (1.68%)
KAPCO 35.10 Decreased By ▼ -0.12 (-0.34%)
KEL 3.45 Increased By ▲ 0.17 (5.18%)
MDTL 2.40 Increased By ▲ 0.08 (3.45%)
MLCF 33.75 Decreased By ▼ -0.69 (-2%)
NETSOL 117.00 Increased By ▲ 4.40 (3.91%)
PACE 4.85 Increased By ▲ 0.23 (4.98%)
PAEL 27.95 Increased By ▲ 0.15 (0.54%)
PIBTL 8.85 Increased By ▲ 0.15 (1.72%)
POWER 7.20 Increased By ▲ 0.05 (0.7%)
PRL 16.69 Increased By ▲ 0.59 (3.66%)
PTC 9.75 Increased By ▲ 0.30 (3.17%)
SILK 1.50 Increased By ▲ 0.02 (1.35%)
SNGP 46.50 Increased By ▲ 0.95 (2.09%)
TELE 17.38 Increased By ▲ 1.21 (7.48%)
TRG 160.30 Increased By ▲ 0.82 (0.51%)
UNITY 32.10 Increased By ▲ 0.90 (2.88%)
WTL 2.88 Increased By ▲ 0.12 (4.35%)
BR100 4,697 Increased By ▲ 20.31 (0.43%)
BR30 22,366 Increased By ▲ 316.99 (1.44%)
KSE100 44,999 Increased By ▲ 181.1 (0.4%)
KSE30 17,713 Increased By ▲ 70.44 (0.4%)

Coronavirus
HIGH Source: covid.gov.pk
Pakistan Deaths
27,638
4124hr
Pakistan Cases
1,241,825
1,40024hr
3.17% positivity
Sindh
456,343
Punjab
429,655
Balochistan
32,875
Islamabad
105,217
KPK
173,353
Markets

Wall St slips as tax uncertainty outweighs easing inflation worries

  • August CPI grows at slowest pace in six months
  • Energy, financials retreat from early gains
  • Indexes down: Dow 0.32%, S&P 500 0.21%, Nasdaq 0.03%
Updated 14 Sep 2021

Wall Street indexes fell on Tuesday on uncertainty over a possible increase in corporate taxes, even though slowing growth in monthly consumer prices eased some fears of the Federal Reserve reducing stimulus early.

Sectors including energy and financials pulled back from their strong gain in the previous session and were the worst performers in early trading.

Major technology stocks continued to lag their broader peers and US-listed Chinese firms dropped further as investors remained wary of regulatory shocks from Beijing.

Focus is now on the potential passage of US President Joe Biden's $3.5 trillion budget package, which is expected to include a proposed corporate tax rate hike to 26.5% from 21%.

A possible hike in corporate taxes is yet another uncertainty, along with recent concerns over slowing economic growth due to rising COVID-19 cases.

Oil hits 6-week high as Storm Nicholas hits US Gulf

Meanwhile, data from the Labor Department showed underlying consumer prices rose at their slowest pace in six months in August, suggesting that inflation had probably peaked. July's reading had also shown a slight slowdown in price increase.

But consumer price inflation is still at high levels. Along with strong producer prices last week and some discord among Fed members over when to begin tapering, it meant investors were still uncertain over the policy shift.

"It doesn't force the Fed's hand, so there's a possibility that the Fed could drag its feet and when they do announce tapering, it may be smaller than what the Street may be looking for that time," said Robert Pavlik, senior portfolio manager at Dakota Wealth in Fairfield, Connecticut.

Energy, financials help Wall Street rise from bruising week

"I'm not thinking that they do any tapering in September, but I'm not sure where their heads are all at. If it's up to (Fed Chair) Powell, he'll wait till November. But other Fed members seem to be on different pages."

At 10:12 a.m. ET, the Dow Jones Industrial Average fell 110.28 points, or 0.32% , to 34,759.35, the S&P 500 lost 9.54 points, or 0.21 %, to 4,459.19 and the Nasdaq Composite lost 4.14 points, or 0.03 %, to 15,101.35.

Market participants now expect a substantial correction in stock markets by the end of the year, with some investors turning bearish on a global economic recovery.

Among individual stocks, CureVac fell more than 3% after the German biotechnology firm canceled manufacturing deals for its experimental COVID-19 vaccine with two prospective partners, after rivals with approved shots boosted production.

Declining issues outnumbered advancers by a 1.4-to-1 ratio on the NYSE and by about a 1.5-to-1 ratio on the Nasdaq.

The S&P 500 posted 2 new 52-week highs and one new low while the Nasdaq recorded 44 new highs and 42 new lows.

Comments

Comments are closed.