U.S. stocks rose early afternoon on Tuesday, as investors prepared for major events later in the week including the latest Federal Reserve interest rate decision and new monthly jobs numbers. How stocks are trading
The Dow Jones Industrial Average
rose 70 points, or 0.2%, to 32,998
The S&P 500
gained 18 points, or 0.4%, to 4,185
The Nasdaq Composite
added 32 points, or 0.3%, to 12,820
All three major indexes were on track for October declines, which would mark a third straight month of declines.
What’s driving markets Traders are attempting to extend Monday’s stock market rally, and they may be looking past a difficult October with big events on the horizon. The third-quarter earnings-reporting season rumbles on and it’s been a rocky start for some companies Tuesday morning. Caterpillar Inc.
shares dropped 6%, a leading Dow decliner and drag on the blue-chip gauge. Even with its third-quarter profit beat, the maker of construction mining equipment has a tepid outlook for the fourth quarter. The company’s performance is a cause for broader caution, according to Steve Sosnick, chief strategist at Interactive Brokers. It’s just one company, he noted, but it may be reflecting “a pretty negative story about cyclicals right now.” Pfizer Inc.
shares were also lower after a wider-than-expected loss, although the pharmaceutical maker did reaffirm its full-year outlook. The most widely anticipated earnings event this week is Thursday after the bell, when Apple Inc.
reports its numbers. Then there’s the focus on the Treasury market. The 10-year Treasury yield
dropped 3.1 basis points to 4.865% Tuesday afternoon. News on Monday that the U.S. Treasury was planning to borrow less than expected this quarter and would thus have to issue less paper was one factor for bond prices. The Treasury will announce its third-quarter refunding program on Wednesday. Another factor helping suppress Treasury yields, and therefore possibly helping sentiment in equities, was data showing that manufacturing in China unexpectedly slipped back into contraction in October. Such signs of a struggling global economy will be part of the Federal Reserve’s calculations as it begins its two-day policy meeting on Tuesday. It is expected …