World News | US Stocks Push Higher on Wall Street in Afternoon Trading

New York, Sep 7 (AP) US Stocks rose in afternoon trading on Wall Street on Wednesday and erased weekly losses for major indexes as traders try to gauge whether the Federal Reserve will succeed in its mission to get inflation under control.

The S and P 500 rose 1.2 per cent as of 1.07 pm Eastern and is now in the green for the week. The benchmark index has slipped for three straight weeks.

Also Read | 31,000-Year-Old Skeleton Found in Indonesia Missing Its Lower Left Leg Is Earliest Known Evidence of Amputation.

The Dow Jones Industrial Average rose 293 points, or 0.9 per cent, to 31,380 and the Nasdaq rose 1.3 per cent.

Technology stocks and retailers made solid gains. Intuit rose 3.6 per cent.

Also Read | UN to Pay Tribute to Victims of Terrorism Including Those Killed in Mumbai Terror Attack.

Target rose 3.3 per cent after announcing that it is dropping the mandatory retirement age for its CEO position and allowing CEO Brian Cornell to stay on for three more years.

United Airlines rose 3.2 per cent after raising its revenue forecast following a busy summer travel season. The encouraging update helped several competitors take flight. American Airlines rose 2.2 per cent and Delta Air Lines rose 1.8 per cent.

Energy stocks fell broadly as US crude oil prices slipped 5 per cent. Valero Energy fell 0.6 per cent.

Bond yields fell. The yield on the 10-year Treasury, which influences interest rates on mortgages and other loans, fell to 3.27 per cent from 3.34 per cent late Tuesday.

The two-year Treasury yield, which tends to track expectations for Fed action, fell to 3.46 per cent from 3.51 per cent.

Wall Street's focus remains on inflation and the Fed's attempt to rein in high prices by raising interest rates. The central bank has already raised interest rates four times this year and markets expect them to deliver another jumbo-sized interest rate increase of three-quarters of a percentage point at their next meeting in two weeks.

The central bank has been clear about its determination to continue raising interest rates until it feels that inflation is levelling off or cooling. In June, Fed officials projected that the benchmark rate will reach a range of 3.25 per cent to 3.5 per cent by year's end and roughly a half-percentage point more in 2023.

“We are in this for as long as it takes to get inflation down,” Fed Vice Chair Lael Brainard said at a banking industry conference on Wednesday. “Our resolve is firm, our goals are clear, and our tools are up to the task.”

Investors have been reviewing economic data to gauge whether price increases on everything from food to clothing and gas are easing. They are also closely listening for any clues about potential changes in policy from Fed officials.

On Thursday, Fed Chair Jerome Powell takes part in a conversation with the head of the Cato Institute about interest-rate policy.

Markets in Europe and Asia were mostly lower.

China's trade weakened in August as high energy prices, inflation and anti-virus measures weighed on global and Chinese consumer demand, and imports of Russian oil and gas surged, China's customs data showed.

Exports rose 7 per cent over a year ago, decelerating from July's 18 per cent expansion, while imports contracted by 0.2 per cent, compared with the previous month's already weak 2.3 per cent growth. (AP)

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)