Alexa

Stocks trade mixed as consumer confidence falls

Stocks trade mixed as consumer confidence falls

A disappointing reading on U.S. consumer confidence spoiled an early rally in the stock market.
Stocks traded mixed Tuesday after a report from a private research group caused worries that consumers might not be ready to spend this holiday season. Consumer strength is considered vital to a recovery in the U.S. economy.
The Conference Board's Consumer Confidence Index fell unexpectedly to 47.7 in October _ its second-lowest reading since May. Analysts predicted a reading of 53.1.
Even if the index had met expectations, consumer confidence is still very weak and remains one of the most worrisome problems facing the economy. A reading above 90 signals solid footing for the economy, and a measure above 100 signals strong growth.
Stocks rose in the first half-hour of trading following a report that home prices rose for the third consecutive month in August. The Standard & Poor's/Case-Shiller home price index, which measures housing prices in 20 major metropolitan markets, gained 1 percent in August from July.
The market's swings come as stocks have fallen in four of the past five days.
In midmorning trading, the Dow Jones industrial average rose 13.38, or 0.1 percent, to 9,881.34. It had been up about 40 ahead of the consumer confidence data.
The Standard & Poor's 500 index fell 1.24, or 0.1 percent, to 1,065.71, while Nasdaq composite index fell 11.23, or 0.5 percent, to 2,130.62.


Updated : 2020-12-05 08:46 GMT+08:00