Chinese gaming stocks have plunged over fears of a crackdown in Macau.
Stocks were mixed on Wednesday, as investors remain anxious about the global economy. Rising Covid-19 cases around the globe are denting sales for many companies.
By noon, the
was up 96 points, or 0.3%, after the index tumbled 292 points on Tuesday to close at 34,577. The
rose 0.3%, and the
was little changed. The S&P 500 is still down almost 2% from its all-time high, hit Sept. 2. The 10-year Treasury yield rose slightly to 1.31%.
Industrial production in the U.S. rose 0.4% month-over-month in August, in line with estimates. Production rose 5.9% year-over-year.
“Stronger demand for durable goods suggest further upside to production after supply issues are resolved into next year,” wrote Andrew Hollenhorst, Citigroup economist.
Overseas, Hong Kong’s
fell 1.8% as Asian investors focused on a sharp slowing in Chinese retail sales. The consensus expectation was for August retail sales to grow 7% year over year, but the reading came in at just 2.5%. Industrial production rose 5.3%, below expectations for 5.8%.
“The no tolerance for Covid spread and the consumer reaction was clearly apparent in the retail sales figure out of China for August,” writes Peter Boockvar, chief investment officer at Bleakley Advisory Group.
was down 0.8%, with the spotlight falling on U.K. inflation, which rose to 3.2% in August in the biggest-ever yearly leap.
Analysts have noted that investor sentiment more broadly is mixed as concerns continued to center on whether a market correction is coming.
“Yesterday, the S&P 500 closed -0.32% away from its 50-day moving average, and the index has only closed below that trailing average on one occasion since March 8 (back on June 18),” noted Jim Reid, a strategist at Deutsche Bank. “Overall we haven’t seen a correction yet, as many expect, but we have seen a stalling.”
On Monday, Reid and his team published a monthly survey of more than 550 global finance professionals showing that 58% expect an equity correction of between 5% and 10% before the end of the year. Another 10% saw a market correction of more than 10% ahead.
Here are 13 stocks on the move Wednesday:
Gambling stocks exposed to Macau—the world’s largest gaming center—have plunged as Chinese regulators turned their attention to the sector.
(ticker: WYNN) was down 7.3%. Las Vegas Sands (LVS) stock fell 4%.
(9984.Japan) fell 6% in Hong Kong as concerns continued over regulatory scrutiny on the Chinese technology sector, including
(BABA)—to which Softbank is heavily exposed.
Cyber security specialist
(DARK.U.K.) rose13.6% in London after posting upbeat quarterly results—its first since going public. The company raised forecasts for both revenue growth and profit margins next year.
The luxury-goods sector remains under pressure for a second day amid concerns over the spread of Covid-19 in Asia—the industry’s most critical market.
(KER.France) all declined.
(YUMC) stock fell 6.7% after the company said its operating profit for the third quarter may fall 50% to 60% year over year, as Covid-19 outbreaks in China hit sales.
(REGN) stock gained 0.9% after the company said it is selling an additional 1.4 million doses of its monoclonal antibody treatment for Covid-19 to the U.S. government.
(SAGE) rose 3.9% after the Food and Drug Administration gave the company a fast-track designation for its Huntington’s Disease treatment.
(MSFT) stock gained 0.9% following news that the company is raising its dividend.
Write to Jacob Sonenshine at firstname.lastname@example.org