The S&P 500 Index staged a major comeback on Tuesday, erasing losses from earlier in the session, as lower interest rates boosted the tech sector amid broader market concerns over the health of the U.S. economy. The tech-heavy Nasdaq Composite also rose 1.75% after opening the session sharply lower. However, the rally did not touch the Dow Jones Industrial Average, which closed down over 100 points.
Oil prices fell on Tuesday, with U.S. benchmark West Texas Intermediate
Analysts at Citi
However, Citi is one of the few oil bears, with many firms seeing oil reach staggering highs this year, such as Goldman Sachs
In recent weeks, fears over red-hot inflation and its impacts on consumer spending have dented investor risk sentiment as outlooks are bracing for a possible recession. Those fears were heightened last week after Federal Reserve Chair Jerome Powell said in remarks that a "soft landing" for the economy is becoming increasingly difficult to achieve as the central bank works to lessen inflationary pressures.
Wall Street is also looking ahead towards more economic data due this week, including June's jobs report due Friday. Economists are expecting a total of 275,000 payroll additions for June, which would mark a sharp slowdown from May's print of 390,000. Moreover, the Federal Reserve is set to release the meeting minutes from its June policy meeting on Wednesday, which will offer more clues on the central bank's next moves to combat inflation.
Here's how the market settled on Tuesday:
S&P 500 Index
Dow Jones Industrial Average
Nasdaq Composite Index +1.75% or +194.39 points to 11,322.24
Yum! Brands plans to fully exit Russian market:
Yum! Brands
Since March, Yum! has been redirecting any profits from its Russian operations to humanitarian efforts, the company said. The fast food operator has also stopped all investment, restaurant development and operations in Russia. Yum! has already sold its Russian Pizza Hut franchises back in May.
Yum! plans to fully exit Russia once the KFC transaction is complete.