US Stock Market: DJIA, S&P500 and Nasdaq turns red in early trade on Thursday

Wall Street stocks fell during the morning trade on
Thursday and oil prices also slipped President Joe Biden prepares to order the
release of 1 million barrels per day from the nation’s strategic petroleum
reserve.

The move to raise oil supply in the market is part of an
attempt to control energy prices, which are as high as 40% this year.

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The S&P 500 slipped 0.4% as to 10:18 am Eastern Time
Zone. The Dow Jones Industrial Average fell 218 points or 0.6% to 35,010 and
the Nasdaq fell 0.3%.

Technology and Communications stocks were among the
biggest gainers in the market. Several companies have heavy stocks have pricey
stock values that tend to push the broader market in either direction. Apple
slipped 1% and Netflix slipped 1.5%.

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Bond yields declined. The yield on the 10-year Treasury
fell to 2.3% from 2.36% late Wednesday.

US crude oil prices declined by 3.8%. Brent, the
international benchmark, fell 3.2%.

A slight pullback in oil prices has helped to moderate
soaring prices amid Russia’s invasion of Ukraine. The conflict has raised
concerns that supply shortages will only worsen continuously rising inflation
that threatens businesses and consumers globally.

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An inflation measure from the Commerce Department surged
6.4% in February, compared with a year ago, marking the largest year-on-year
rise in four decades.

Energy prices have been a primary factor in pushing
inflation higher and Biden’s plan to release more oil into the market comes as
some relief is expected from the oil body OPEC.

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OPEN and its allied oil-producing countries including
Russia are sticking to a moderate rise in the amount of oil they supply to the
world, a move that supports higher prices.

The benchmark S&P is on its way to closing out the
month of March with a 4.8% gain after losses in January and February. The index
is moving towards a first-quarter loss of 3.8%, marking its first quarterly
loss since the first quarter of 2020, when the pandemic stunned global markets
and the economy.

Investors received a modest update on the job market on
Thursday. More Americans applied for unemployment benefits last week, but
layoffs remain at historic lows. Investors will get a complete report on Friday
when the Labor Department will release employment data for March.