Ned Davis US chief strategist Ed Klisold and Aegon Asset Management chief macro strategist Frank Rybinski discuss the impact of the Russia-Ukraine crisis on the Federal Reserve’s decision to raise interest rates and US markets.
US stocks gave up gains as oil prices remained high as Russia developed Ukraine. Investors are also watching Federal Reserve Chairman Jerome Powell, who is on Capitol Hill for a second day of economic testimony.
The Dow Jones industrial average fell above 100 points or 0.4%, down 200 points, while the S&P 500 and Nasdaq Composite fell 0.5% and 1%, respectively.
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| Me: DJI | MIDDLE DOE JUNES | 33714.74 | -176.61 | -0.52% |
| SP500 | S&P 500 | 4358,85 | -27.69 | -0.63% |
| I: COMP | NASDAQ COMPOSITE INDEX | 13583.181518 | -168.83 | -1.23% |
Powell said he supported the traditional 0.25 percentage point increase in interest rates instead of the larger increase recommended by some politicians. Powell also said the impact of the Russian attack on the US economy was “very uncertain”.
RUSSIA INVASES UKRAINE: LIVE UPDATES
Oil prices continued to rise as supply and supply concerns persisted due to Russia’s invasion of Ukraine.
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| USO | STATE OIL FUND LP | 75.17 | -0.19 | -0.25% |
| BNO | UNITED STS BRENT OIL FD LP UNIT | 31.20 | -0.40 | -1.27% |
US crude reached $ 113.06 a barrel before falling. Brent, based on the price of international oil, moved to $ 115.08 a barrel in London. As a result, large oil companies remain in focus.
POWER OF THE FED WILL OFFER 25 BPS Increase in the rate of the meeting in March
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| XOM | EXXON MOBIL CORP. | 80.53 | +1.36 | + 1.72% |
| CVX | CHEVRON CORP. | 154.14 | +4.42 | + 2.95% |
| OXY | OCCIDENTAL PETROLEUM CORP. | 47.95 | -0.40 | -0.82% |
AG URGES BIDEN TO TAKE STEPS FOR ENERGY INDEPENDENCE WITH DECLARATION OF PERFORMANCE PRICES
OPEC and its allies, including Russia, have decided to maintain a 400,000-barrel-a-day increase in March despite rising prices and ignoring consumer calls for more crude oil.
In shares, Kroger shares rose after better-than-expected earnings and raised their forecast.
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| KR | KROGER CO. | 54.59 | +5.22 | + 10.57% |
Best Buy also performed better than expected, and the forecast sent stocks higher.
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| BBY | BEST BUY CO. INC. | 108.80 | +7.88 | + 7.81% |
Carmakers remain in focus after Ford Motor Co. said it is accelerating its transformation into an electric vehicle company and is dedicating its EVs and internal combustion operations to deal directly with Tesla.
| Ticker | Security | Last | Change | Change% |
|---|---|---|---|---|
| Ф | FORD MOTOR CO. | 18.10 | +1.40 | + 8.38% |
| TSLA | TESLA INC. | 879,89 | +15.52 | + 1.80% |
| GM | GENERAL MOTORS CO. | 46.32 | +1.80 | + 4.04% |
In the economic news, the Ministry of Labor announced that the weekly unemployment applications were 215.00, a slight decrease of 232,000 in the previous week. Ongoing claims, which track the total number of unemployed workers collecting benefits, have changed slightly, to 1.476 million, which remains below pre-pandemic levels.
EMPLOYERS ADD 475,000 JOBS IN FEBRUARY: ADP
The big report for the month comes on Friday, when the government publishes the February Jobs Report. The US economy is estimated to have added 400,000 new non-agricultural jobs.
The “Now Hire” sign in a business in Richmond, Virginia. (AP Photo / Steve Helber / AP Newsroom)
Traders will also be able to examine several data points, including revised productivity and labor costs for the fourth quarter.
A key number to keep in mind is when the Supply Management Institute publishes its PMI for non-production in February. This important indicator for activity in the services sector is expected to rise to 61.0, slightly up from 59.9 in January.
The sales department will also publish data on factory orders in January. Watch for a 0.7% increase, reversing a 0.4% decline in December.
Bitcoin is trading over $ 43,000.
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Ken Martin of FOX Business and the Associated Press contributed to this report.