US stocks rise after positive GDP revision and ahead of speech from Fed Chairman Jerome Powell
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Federal Reserve Chair Jerome PowellWin McNamee/Getty Images
US stocks were up on Wednesday as investors await a speech from Fed Chairman Jerome Powell.
He is expected to strike a hawkish tone as the Fed continues its fight against inflation.
Third-quarter GDP growth was revised upwards to 2.9% from 2.6%, while ADP payroll data missed estimates.
US stocks were up in early Wednesday trades as investors await a speech from Federal Reserve Chairman Jerome Powell later this afternoon.
He is expected to strike a hawkish tone as the Fed continues its fight against inflation, though the central bank is widely seen slowing down its rate-hike trajectory to 50 basis points from 75 basis points at its upcoming FOMC meeting in mid-December.
Economic data was mixed on Wednesday, with third-quarter GDP growth revised upwards to 2.9% from 2.6%. Meanwhile, the November payroll report from ADP showed private companies adding 127,000 jobs, well below estimates for 190,000 jobs. The Labor Department's November jobs report will be released this Friday.
Here's where US indexes stood shortly after the 9:30 a.m. ET open on Wednesday:
S&P 500: 3,964.22, up 0.17%
Dow Jones Industrial Average: 33,868.30, up 0.05% (15.77 points)
Nasdaq Composite: 11,025.96, up 0.38%
Here's what else is happening this morning:
The US dollar is on pace for its largest monthly loss since 2010. In November, it has fallen 4.2% against a basket of currencies, according to the WSJ Dollar Index.
Elon Musk called on the Federal Reserve to slash interest rates as soon as possible in a Tweet on Wednesday. Musk warned that the rapid rate hikes this year have dramatically increased the risk of a deep and painful economic downturn in the US.
Musk isn't the only person warning of a steep recession ahead. Both Michael Burry and Danny Moses of "The Big Short" fame warned of an imminent downturn ahead.
In commodities, bonds and crypto:
West Texas Intermediate crude oil jumped 3.48% to $80.92 per barrel. Brent crude, oil's international benchmark, rose 4.67% to $86.91.
Gold rose 0.50% to $1,772.60 per ounce.
The yield on the 10-year Treasury rose three basis points to 3.78%.
Bitcoin fell 0.22% to $16,832, while ether dropped 0.37% to $1,264.
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