Stock Market Update
04-Sep-26 10:05 ET
Strong jobs report weighs against semiconductor strength
Dow -185.72
at 53500.39,
Nasdaq +20.33
at 26625.44,
S&P -11.53
at 7736.18
[BRIEFING.COM] The S&P 500 (-0.1%), Nasdaq Composite (+0.1%), and DJIA (-0.3%) are mixed shortly after the open as increased odds for a September rate hike weigh against lingering strength in semiconductor stocks.
The August Employment Report released this morning was stronger than expected, decreasing the odds that the Fed will keep rates on hold and taking some of yesterday's momentum out of equities. The CME Fed Watch tool now assigns a 60.4% probability to a rate hike at the September 16 FOMC meeting, up from 49.4% yesterday.
Weakness is broad, with nine S&P 500 sectors trading lower. However, the top-weighted information technology sector (+0.9%) is firmly higher due to a 3.5% surge in the PHLX Semiconductor Index, limiting losses for the S&P 500 and keeping the Nasdaq Composite in positive territory.
Memory names and semiconductor component stocks are the early outperformers, while lululemon athletica (LULU 100.24, -21.53, -17.68%) is the weakest S&P 500 component after earnings, and a host of financial publishing stocks also face steep losses.
