The Dow plodded toward a moderate gain on Thursday after the index emerged unscathed from another batch of third-quarter corporate earnings reports.
The stable earnings helped fortify the Dow against more dismal manufacturing data, which could spur more Federal Reserve interest rate cuts but may also presage an economic slowdown or even a full-blown recession.
Dow Keeps Grinding Higher
Wall Street’s three major indices all rose on Thursday, as the US stock market headed toward a positive conclusion to a week that has been noticeably less volatile than usual.
The Dow Jones Industrial Average climbed 60.94 points or 0.23%, raising the index to 26,894.89.
The Dow rose on Thursday after several components reported positive earnings results. | Source: Yahoo Finance
The S&P 500 gained 8.53 points or 0.28% to trade at 3,013.05. A 1.2% bounce in technology stocks offset declines of around 0.5% in both communication services and real estate.
Supported by excellent earnings from Tesla, the tech-heavy Nasdaq surged 50.05 points or 0.64% to 8,171.84.
Core Manufacturing Statistic Suffers Steepest Decline in 4 Months
The US economy has weathered the trade war admirably for more than a year, but recent data releases suggest that cracks have begun to form, especially in the manufacturing sector.
The Commerce Department released more concerning statistics on Thursday, revealing that orders for durable goods dropped 1.1% in September, the largest decline in four months. This statistic tracks the orders to US factors for big-ticket items like machinery, vehicles, and airplanes.
The government released more manufacturing data that could bode ill for the state of the US economy. | Source: Commerce Department
Core capital-goods orders, which measures the temperature of business investment by excluding the more volatile aircraft and defense-related goods statistics,