April 20, 2024

Image for article titled The Dow gets stuck in neutral as investors anxiously await the Fed

Photo: Brendan McDermid (Reuters)

Investors remained nervous as U.S. stock indexes continued to shake on Wednesday morning. The Dow Jones Industrial Average was up 0.3% to 39,290. The Nasdaq Composite and the S&P 500 ticked up 0.1% and 0.2%, respectively. All eyes will were on Federal Reserve Chair Jerome Powell’s midday speech about inflation and interest rates.

Express is on the verge of bankruptcy

Retail company Express could be on the cusp of bankruptcy. Bloomberg, citing unnamed sources, reports that the company is requesting cash from its lenders to help it pay for a potential Chapter 11 bankruptcy proceeding. Express could file for bankruptcy as early as next week. As a result, the stocks were at a new 52-week low today, down a whopping 52%, trading at $0.62.

Downward trend in beauty stocks

Ulta Beauty was among the worst performers today as its stock fell over 13.5% to $448. The move comes after Mayflower Financial Advisors bought a new stake in Ulta Beauty in the fourth quarter. The fund purchased 476 shares, valued at approximately $233,000.

Similarly, Estée Lauder’s shares fell 3.4% on Wednesday to $147. The beauty conglomerate recently started selling its products on Amazon Premium store.

More job openings, more hiring

In macroeconomic news, just a few days before the March employment report, ADP, a provider of human resources management software and services, has reported that hiring in the private sector jumped the most since July. The report has given investors hope that the employment report, which is due on Friday, will show a similar trend and eventually lead to the Fed cutting interest rates.

Recovery in the crypto market

After yesterday’s bloodbath, the crypto market was in a better position today, as Bitcoin jumped 1.3% to $66,000. Ether, the second largest cryptocurrency, followed suit with a 2% jump, hovering around $3,300. All the other major cryptocurrencies recovered a bit after falling yesterday.

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