Dow gains 69 points after Federal Reserve releases June minutes

Dow gains 69 points after Federal Reserve releases June minutes
The Dow Jones Industrial Average gained 69 points Wednesday, staging a late rebound after the Federal Reserve released its June meeting minutes. File Photo by John Angelillo/UPI | License Photo

July 6 (UPI) -- U.S. markets staged another rebound Wednesday after the Federal Reserve released minutes from its June policy meeting.

The Dow Jones Industrial Average gained 69.86 points, or 0.23%, the S&P 500 rose 0.36% and the Nasdaq Composite closed the day up 0.35% after all three major indexes bounced back from earlier losses.


Wednesday's rebound came after the minutes from the central bank's June meeting showed that it was committed to lowering inflation while indicating it would likely order another 50- or 75-basis point interest rate increase in its July meeting.

"In discussing potential policy actions at upcoming meetings, participants continued to anticipate that ongoing increases in the target range for the federal funds rate would be appropriate to achieve the committee's objectives," the minutes stated.

RELATED Amazon partnership gives Prime members free trial Grubhub subscription

Earlier Wednesday, the Bureau of Labor Statistics released data showing that total job openings fell from 11.68 million in April to 11.25 million in May, but were still outpacing the number of people searching for work.

Recession fears continued Wednesday as the 10-year treasury yield fell from a decade high of over 3.4% in mid-June and reached 2.82%, near its lowest level in six weeks and falling below the 2-year yield.


"So if you try to reconcile those two numbers, the bond market's telling you that before the ink is even dry on the last interest rate hike, the Federal Reserve is going to have to start cutting rates in order to deal with the economic fallout from those rate hikes," Matt Kishlansky, GenTrust Head of Asset Allocation, told Yahoo Finance.

RELATED Yum! Brands close to Russian exit with KFC sale almost complete

"There's really no consensus between the stock market and the bond market to what we do in the interim and where we're headed," Kishlansky said.

Crude oil prices also remained below $100 per barrel after dipping below the threshold for the first time since May on Tuesday.

Defensive plays were among the best performing Wednesday as Northrop Grumman rose 3.73% and UnitedHealth Group gained 2.1%.

RELATED Samsung tycoon tops stock-rich list in South Korea

Tech stocks also performed well amid declining treasury yields with Cisco stock rising 1.74%, Adobe stock gaining 1.68% and Microsoft climbing 1.28%.

Energy stocks were among the worst performers with Diamondback Energy falling 3.38% and Chevron declining 1.32%.

Latest Headlines


Follow Us