Stock Market Today: Wall Street rises ahead of bank earnings, Powell testimony this week

NEW YORK (AP) — Stocks rose in morning trading on Wall Street Monday, adding to record highs set last week.

The S&P 500 rose 0.1%, the Nasdaq Composite rose 0.1% and the Dow Jones Industrial Average rose 161 points, or 0.4%, as of 10:40 a.m. ET.

Specialty glassware maker Corning Inc. rose 9.3%, one of the biggest gains in the market, after raising its sales forecast.

Shares of troubled planemaker Boeing rose 3.1% after it agreed to plead guilty to criminal fraud charges stemming from two 737 Max crashes that killed 346 people. The government has designated the company violated the agreement Which protected her from prosecution for more than three years.

Entertainment giant Paramount Global Saudi Telecom Company shares fell 4.1% after it agreed to merge with Skydance.

Traders are looking forward to several earnings reports this week including updates from Delta Air Lines on Thursday.

JPMorgan, Citigroup and Wells Fargo are scheduled to report earnings on Friday. The latest on the banks could give Wall Street a clearer picture of how consumers are coping with mounting debt and whether banks are worried about payments and potential defaults.

Federal Reserve Chairman Jerome Powell is set to address Congress on Tuesday and Wednesday. The central bank has kept benchmark interest rates at their highest level in more than two decades in an effort to tame inflation.

The Fed’s goal is to bring inflation down to 2% without slowing economic growth too much. Inflation is still weighing on consumers, but it’s down sharply from its peak two years ago. Economic growth has slowed this year, but remains relatively robust amid a strong labor market and consumer spending.

See also  The former Tesla board member says he will not vote for Musk's $56 billion pay package

The central bank is due to give further updates on consumer inflation on Thursday. Wall Street expects the latest government report to show inflation falling to 3.1% in June from 3.3% in May.

The wholesale inflation report, before costs are passed on to consumers, is expected on Friday.

Surprisingly stubborn inflation has prompted the Federal Reserve to wait cautiously before cutting interest rates and to lower expectations for the number of rate cuts expected this year. Most experts expect the Fed to cut rates once this year, but not before September. The Fed holds its next policy meeting later this month.

Treasury yields were relatively steady in the bond market. The yield on the 10-year Treasury note rose to 4.29% from 4.28% late Friday.

European stocks were mixed after French elections The Greek parliament was left divided between left, centre and far right, with no political faction able to come close to a majority.

Stocks fell in Asia.

___

Associated Press business writers Zimu Chung and Matt Ott contributed to this report.

Leave a Reply

Your email address will not be published. Required fields are marked *