US Stocks Slip as Oil Stabilizes       09/23 09:33

   The U.S. stock market is pulling back from the brink of its all-time high on 
Wednesday after oil prices halted their weeklong run of easing.

   NEW YORK (AP) -- The U.S. stock market is pulling back from the brink of its 
all-time high on Wednesday after oil prices halted their weeklong run of easing.

   The S&P 500 slipped 0.3% and is 0.8% below 
https://apnews.com/article/stock-markets-ai-semiconductors-fed-energy-3a23f22469
cd0e0062f711096906525c set last month. The Dow Jones Industrial Average was 
down 126 points, or 0.2%, as of 10 a.m. Eastern time, while the Nasdaq 
composite fell 0.5% from 
https://apnews.com/article/markets-ai-oil-wall-street-de8c5f9659e44556e40e661f79
4b48ad.

   Stocks felt pressure as the price for a barrel of Brent oil rose 2.3% to 
$101.52. It reverses a decline for Brent, which had been falling since hitting 
nearly $110 last week on worries that https://apnews.com/hub/iran will keep oil 
bottled up in the Middle East for a long time. 
https://apnews.com/article/trump-united-nations-unga-iran-ai-f7cb0b3ebc492446c0b
e97ed3a6843aa with mediators between U.S. and Iranian officials, but nothing 
concrete has come from it yet.

   Even with its decline over the last week, the price for a barrel of Brent 
remains much higher than the roughly $72 it cost before the war with Iran began.

   The climb in oil prices has helped push yields higher in 
https://apnews.com/article/interest-rates-inflation-trump-federal-reserve-52d5e8
2d851a624b95bc142a0c90d924, which in turn slows the economy by making it more 
expensive for everyone to borrow money. Yields got an extra push Wednesday 
morning after a preliminary report suggested growth in U.S. business activity 
surged to its strongest level in more than five years.

   The yield on the 10-year Treasury jumped to 5.03% from 4.96% late Tuesday.

   On the downside for the economy, though, the report also suggested costs for 
businesses are jumping at the fastest rate in four years because of more 
expensive fuel, according to Chris Williamson, chief business economist at S&P 
Global Market Intelligence. That could hit businesses' customers with worse 
inflation in coming months.

   Last week, the 10-year Treasury yield topped 5% for the first time since 
2023 because of worries about high inflation, the U.S. government's growing 
debt load and other concerns.

   Strong growth in profits for U.S. companies have helped to support Wall 
Street despite all the worries about expensive oil, high interest rates and 
high inflation.

   KB Home became the latest to deliver a stronger profit report for the latest 
quarter than analysts expected. But its stock nevertheless slipped 1.3% after 
the homebuilder's executive chairman said conditions got even tougher for the 
housing market over the last three months.

   Potential customers are becoming more cautious because of 
https://apnews.com/article/mortgage-rates-housing-interest-financing-home-d57cc5
a38163cfef3a7b2639dd3d8d7c caused by the rise in the 10-year Treasury yield. 
They also are feeling pressure from "geopolitical uncertainty and broader 
economic headwinds," Jeffrey Mezger said.

   General Mills likewise reported a stronger profit for the latest quarter 
than analysts expected, even as higher costs eroded how much the company behind 
the Cheerios and Progresso brands made off each $1 of revenue.

   But the company said it also expects growth this fiscal year to fall below 
its historical track record "driven by a continued challenging consumer 
backdrop," and it did not raise its forecast for profit over the full fiscal 
year. Its stock fell 2.2%.

   U.S. consumers have been 
https://apnews.com/article/consumer-confidence-inflation-economy-gas-prices-8fdc
fa56f35b9eac2399fe1d167f8fbd about their finances because of how much 
https://apnews.com/article/consumer-prices-inflation-fed-interest-rates-c76f53f7
a53def0c464ca44ac637f203.

   In stock markets abroad, indexes slipped across much of Europe and Asia.

   Stock indexes fell 1% in Hong Kong and 0.4% in Shanghai ahead of Chinese 
President Xi Jinping's state visit to Washington, 
https://apnews.com/article/trump-xi-arrival-washington-state-visit-baea8dbdb8c83
2ae1b295579709dc967, and 
https://apnews.com/article/trump-xi-arrival-washington-state-visit-baea8dbdb8c83
2ae1b295579709dc967.

   The leaders are 
https://apnews.com/article/trump-xi-china-relationship-ai-tariffs-iran-2716ee31a
fa579e9ca18ae76cbe35ab9 in their third meeting since Trump returned to the 
White House. That is despite the world's two largest economies 
https://apnews.com/article/china-us-ai-models-safety-concerns-adb45169d436d5f940
fc7b4ebeaeef3b developments and trade, while pushing for leverage in persistent 
https://apnews.com/article/trump-xi-iran-oil-china-78b8ccd21cbc4bc0ab19a79f68372
ec0 and Taiwan.