By Yasin Ebrahim
Investing.com – The S&P 500 closed flat again Wednesday, as gains in energy were canceled out by a weakness in materials and consumer stocks as investors looked ahead of Friday’s jobs report for further direction.
Energy jumped nearly 2%, underpinned by rising oil prices as investors bet on increasing demand over the summer offsetting major oil producer plans to gradually lift production.
Sentiment on oil prices has also been supported by growing expectations Iranian supply to the market will be delayed because of talks over a nuclear deal.
“The return of Iranian barrels does not appear to be an imminent issue for the oil market with the fifth round of nuclear negotiations in Vienna failing to produce a major diplomatic breakthrough,” RBC said in a note Tuesday.
Tech made modest gains as semiconductor and megacap tech stocks were mostly higher.
Stay at home stocks were mixed as Zoom Video (NASDAQ:ZM) slipped despite reporting blow out quarterly results.
“Zoom reported another strong showing in 1QFY22 to start the year…,” Oppenheimer said. “Looking ahead, our attention turns to the pace of G2K penetration, new product adoption, and churn for customers with fewer than ten employees.”
Hewlett Packard Enterprise (NYSE:HPE), meanwhile, ended the day roughly unchanged beating first-quarter expectations on both the top and bottom lines.
As the week progresses, investor attention will turn to the monthly jobs report for May due Friday. Economists forecast that 650,000 jobs were created in May.
Ahead of the jobs report, the Fed’s Beige Book highlighted the ongoing labor supply shortage and faster pace of inflation, and suggested both trends are set to continue in the months ahead.
Reddit-favorite AMC Entertainment Holdings Inc (NYSE:AMC) nearly doubled in price to close at record highs, and was halted several times intraday amid wild swings. The move higher in move chain company comes as it launched a communication services, Investor Connect, to take advantage of its expanding retail shareholder base.
S&P 500 in Holding Pattern Ahead of Jobs Report; AMC Hits Record High
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