The Dow Jones Industrial Average pared some early gains and was higher by 0.1% at 4 p.m. ET Wednesday.
Payroll data from Automatic Data Processing showed a weakening jobs market in August as it came in below consensus views of 200,000 at 177,000, according to Econoday. A second estimate by the Commerce Department showed gross domestic product for the quarter increased by 2.1%, below last month's advance second-quarter estimate of 2.4%. In the first quarter, GDP rose by 2%. In the newest Q2 reading, private inventory investment and nonresidential fixed investment were revised lower, offset by upward revisions to state and local government spending.
Both the downward revision to Q2 GDP estimates and softer ADP jobs data strengthen the case for a rate pause in September. The odds of rates remaining unchanged rose to 88.5% for September and to 51.1% for November, and to 50.2% in December, according to the CME FedWatchTool.
The Bureau of Labor Statistics will release its payroll report on Friday. The yield on the benchmark 10-year Treasury note fell 2 basis points to 4.10% after Wednesday's economic data.
The pending homes sales index for July showed a 0.9% reading, higher than June's revised 0.4%.
The S&P 500 gained 0.4%, led by Insulet. The index claimed the psychologically important 4500 mark on Wednesday.
The Nasdaq also rose by 0.5% at the closing bell.
Volume was lower on the NYSE and on the Nasdaq compared with the same time on Tuesday.
The small-cap Russell 2000 added 0.5% at the close while the Innovator IBD 50 held a 0.5% gain. The ETF is testing resistance at its 200-day moving average.
Crude oil rose 0.6% to trade at $81.63 a barrel.
Dow Jones Stocks
Salesforce announced second-quarter results after the market close. Sales grew 11% to $8.6 billion while EPS of $2.12 was 78% higher than the $1.19 in the prior-year quarter. The software leader, up 1.5% in Wednesday's regular session, gained more than 10% in after-market hours. The company guided higher for revenue for the full year.
Apple rose as investors await its fall event on Sept. 12. The tech giant is offering a buy point at 198.23 and is clearing its 50-day line.
Stocks Moving Today
Software leaders are clearing the 50-day line on Wednesday. Palo Alto Networks peeked above its 50-day line within a consolidation with a buy point of 258.88. CrowdStrike is also holding the 50-day line.
HP dived after the PC and printer maker's sales declined in the third quarter and after the company also posted a dim outlook for the current quarter. Shares tried to reclaim the 50-day line on Tuesday but failed the test and plunged below the 200-day line on Wednesday as well.
Hewlett Packard Enterprise pared back early losses and was up 3% in the stock market today after a mixed outlook for the current quarter.
Among other earnings movers, content management company Box dived after results late Thursday. Sales growth tapered to 6% in the second quarter. The company expects 5% growth in the third quarter and full year, partly due to an anticipated negative foreign exchange impact.
Parent company of Tommy Hilfiger and Calvin Klein PVH rose but fell short of its 50-day line after a strong quarter. Sales grew 4%, but earnings of $1.98 per share beat its earlier guidance of $1.70. The company maintained its full-year outlook for sales growth of 3.5% at the midpoint while increasing its earnings outlook to $10.35 per share from $10 earlier.
Please follow VRamakrishnan on X, the platform formerly known as Twitter, for more news on the stock market today.
