NEW YORK (AP) — U.S. stock indexes are drifting Thursday following a mixed set of earnings reports from Morgan Stanley, UnitedHealth Group and other big companies.The S&P 500 was up 0.1% in midday trading after flipping earlier between small gains and losses. The Dow Jones Industrial Average was down 43 points, or 0.1%, as of 11 a.m. Eastern time, and the Nasdaq composite was 0.1% lower.Stocks were holding steadier after shooting higher the day before on hopes that an encouraging report on inflation may convince the Federal Reserve to deliver more cuts to interest rates this year. Treasury yields were also more placid in the bond market following some mixed economic reports on Thursday.One report showed growth for sales at U.S. retailers wasn’t as strong last month as economists expected. Another said more U.S. workers filed for unemployment benefits last week, and a third said manufacturing in the mid-Atlantic area unexpectedly roared back to growth.Taken together, the trio of reports suggest the U.S. economy is nowhere near a recession but may be showing some signs of slowing that could keep pressure off inflation. Markets have been lurching down and up in recent weeks, as economic reports force traders to revamp their expectations about what the Federal Reserve may do with interest rates in 2025.When reports have calmed worries about inflation, expectations have climbed for possible cuts to rates. That has typically sent Treasury yields lower and stock prices higher. When inflation looks to be a bigger problem, whether through a still-solid economy or possible policies coming from President-elect Donald Trump, Treasury yields have climbed, and stock prices have tended to sink.On Thursday, yields were holding relatively steady. The yield on the 10-year Treasury eased to 4.62% from 4.66% late Wednesday. It drifted up and down during the morning but remained well below its 4.79% level from Tuesday.The two-year Treasury yield, which more closely follows expectations for the Fed’s upcoming moves, slipped to 4.24% from 4.27% late Wednesday. It was at 4.37% just two days ago.Treasury yields are still higher than they were last autumn, though. And higher yields can put downward pressure on stock prices, unless companies can deliver higher profits to make up for it.On Wall Street, Morgan Stanley climbed 2.4% after reporting stronger earnings for the latest quarter than analysts expected. CEO Ted Pick said investment banking improved in the quarter. Strong financial markets also helped its total client assets grow to $7.9 trillion across its wealth and investment management businesses.It followed stronger-than-expected profit reports from a bevy of banks the day before, including Citigroup, Goldman Sachs and Wells Fargo.Bank of America also delivered a profit report on Thursday that beat expectations, but its stock was more subdued. It slipped 1%.U.S. Bancorp, meanwhile, fell to one of the worst losses in the S&P 500 after reporting result
Ven. Gen 17th, 2025
