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Stocks Take a Breather: Dow and S&P 500 Snap Four-Day Winning Streak as Bond Yields Rise and Inflation Keeps Its Cool

On Thursday, the stock market hit the pause button, putting an end to its four-day winning streak, while bond yields climbed higher and investors grappled with an inflation report that maintained its stubborn streak. The Dow Jones Industrial Average (^DJI) slipped by approximately 0.5%, equivalent to 170 points, and the S&P 500 (^GSPC) dipped by 0.6%. The tech-heavy Nasdaq Composite (^IXIC) followed suit with a 0.6% drop.

Thursday’s Consumer Price Index (CPI) report indicated that headline inflation in September held its ground, with prices edging up a tad faster than expected. Consumer prices danced 3.7% higher compared to the previous year, mirroring August’s figures. On a month-to-month basis, consumer prices experienced a 0.4% ascent.

Meanwhile, the yields on both the 10-year (^TNX) and 30-year Treasury (^TYX) notes saw an upward trajectory. After a few days of decline, the 30-year Treasury yield made its way above the 4.85% mark.

Stock Market Today: Dow ends higher as focus shifts to consumer inflation data

U.S. stock futures were trading in a tight range during Thursday’s evening deals, after a negative performance among benchmark averages as fresh CPI data soured risk appetites, while traders braced for major financial earnings later in the session.

By 6:45pm ET (10:45pm GMT) Dow Jones Futures, S&P 500 Futures and Nasdaq 100 Futures were each trading within a range of 0.1%.

Ahead in Friday’s trade, market participants will be monitoring import and export price indexes and preliminary Michigan consumer sentiment and expectations surveys as well as speech from FOMC member Harker.

Among earnings, companies including UnitedHealth Group Incorporated (NYSE:UNH), JPMorgan Chase & Co (NYSE:JPM), Wells Fargo & Company (NYSE:WFC), BlackRock Inc (NYSE:BLK), Citigroup Inc (NYSE:C), PNC Financial Services Group Inc (NYSE:PNC) and Progressive Corp (NYSE:PGR) are expected to release earnings results.

During Thursday’s regular session, the Dow Jones Industrial Average lost 173.7 points or 0.5% to 33,631.2, the S&P 500 dipped 27.3 points or 0.6% to 4,349.6 and the NASDAQ Composite dipped 85.5 points or 0.6% to 13,574.2.

On the bond markets, United States 10-Year rates were at 4.697%.


Belden’s Q3 Performance Takes a Bungee Dive – Revenue Outlook Falls, Earnings Do the Flip

In a financial rollercoaster, Belden (BDC) shares took a bungee dive of over 16% in after-hours trading following the release of their preliminary Q3/23 results. The company yanked down its Q3 revenue expectations to a surprising $625 million, a significant departure from the earlier estimate of $675 million to $690 million. Clearly, the financial forecast decided to take an unexpected detour, defying the consensus estimate of $685.2 million.

On the flip side of things, Belden foresees its GAAP EPS performing an impressive acrobatic feat, landing in the range of $1.67 to $1.69. This marks an improvement from the previous range of $1.40 to $1.50, mainly thanks to a profit trampoline from asset sales. However, their adjusted EPS is all set to do a slight somersault, now expected to land between $1.75 and $1.77, a tad down from the prior range of $1.75 to $1.85. It’s as if the earnings figures decided to add a touch of suspense to the performance, with the consensus estimate standing at $1.82.

Sweet Tooth Shocker: Sugar Prices Surge 7.7% While Candy Costs Soar 7.5%, but Halloween Lovers Remain Unfazed

Sugar prices are on the rise, with a 7.7% increase in the cost of sugar and sugar substitutes compared to a year ago, while candy and chewing gum prices spiked by 7.5%. Even other sweet treats saw a nearly 3% increase in prices when compared to last year, as reported by the Bureau of Labor Statistics’ (BLS) latest Consumer Price Index (CPI). Year over year, the sugar and sweets category recorded a 6.5% rise, including a 0.3% increase compared to the previous month. Surprisingly, this surge surpasses the general food inflation rate, which rose by 0.2% in September on a monthly basis and 3.7% year over year. Grocery prices, categorized as food at home, increased by 0.1% and 2.4%, respectively.

But fear not, Halloween enthusiasts! Despite the uptick in sugar prices, consumers are expected to spend a whopping $3.6 billion on candy this year, marking a nearly 14% increase from last year’s total of $3.1 billion. This figure represents an all-time high, as per the National Retail Federation, proving that the Halloween spirit is not easily spooked by rising prices.

Investing on a Friday is like deciding to start a marathon just as the weekend begins. It’s a bold move that says, “I’m not afraid of a little adventure,” or perhaps it’s just a way of making sure your money gets to party on Saturday and Sunday, too. Whether it’s the thrill of riding the weekend financial rollercoaster or simply an exercise in patience while you wait for Monday’s verdict, Friday investments are like that tantalizing dessert you order before a big meal – risky, tempting, and sometimes, surprisingly sweet. So, why not let your portfolio join the Friday fiesta and see where the weekend winds take it? Who knows, you might just end up toasting to a profitable Monday morning.