Investing.com — The U.S. stock market rose on Wednesday, ignoring concerns about the economy following weaker jobs data, as minutes of the Federal Reserve’s meeting showed a “vast majority” of Fed members signaled a possible interest rate cut next month.
At 14:41 ET (18:41 GMT), the index was up 26 points, or 0.1%, the index was up 0.4% and then 0.5%.
Fed members give clearest signal yet of September cut
A “vast majority” of policymakers signaled it would be appropriate to begin cutting interest rates next month if the current upward trend in containing inflation continues, according to the Federal Reserve’s July meeting on Wednesday.
“The vast majority noted that if data continues to flow in line with expectations, it would likely be appropriate to ease policy at the next meeting,” according to minutes of the Federal Reserve’s July meeting.
The minutes of the meeting were released just days before Chairman Jerome Powell speaks at an economic symposium in Jackson Hole on Friday.
Payrolls significantly reduced
Investor confidence rose on Wednesday after data showed the U.S. economy created far fewer jobs than initially forecast last year.
The Bureau of Labor Statistics previously revised down its March 2024 job growth forecast by 818,000 positions as part of its annual review of payroll data.
Markets are trading cautiously as investors look for clues about the Federal Reserve’s intentions at its next monetary policy meeting in September.
The Bureau of Labor Statistics’ report on potential revisions to the latest nonfarm payroll data is due later in the session. Most economists expect a downward revision.
Goldman Sachs forecasts that 600,000 to 1 million fewer jobs will be created between April 2023 and March 2024 than previously reported, although the influential investment bank said probable downward correction “will exaggerate the extent to which wage growth has been overstated.”
Objective Keysight Technologies shines, but Macy’s and La-Z-Boy fall at earnings stage
Shares of Target Corporation (NYSE:) rose 12% after the major retailer raised its full-year profit forecast and beat expectations for comparable sales in the second quarter, as shoppers were lured by low-cost groceries and essentials.
Meanwhile, Macy’s (NYSE:) shares fell 11% after the department store chain missed quarterly revenue expectations and continued weakness in U.S. consumer spending hurt demand for high-priced non-essential goods.
Keysight Technologies Shares of the company (NYSE:) rose 12% after its earnings beat estimates, while shares of 3D Systems (NYSE:) fell 3% after posting weaker-than-expected earnings.
Shares of furniture maker La-Z-Boy Incorporated (NYSE:) fell nearly 4% as weaker-than-expected guidance largely erased robust profits.
JD.com falls after Walmart’s sales plans; Ford scales back electric vehicle plan
Shares of Chinese e-commerce company JD.com (NASDAQ:) fell more than 5% after Bloomberg reported that Walmart (NYSE:) plans to sell its stake in the company for about $3.7 billion.
Ford Motor Company (NYSE:) gained more than 1% after scrapping plans for a three-row electric SUV and delaying the launch of its novel F-150 model amid weaker demand the automaker was facing.
(Peter Nurse and Ambar Warrick contributed to this article.)
