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

Stocks on Wall Street swung between small gains and losses in the morning trading session on Wednesday tracking a slump a day earlier as the situation in Ukraine remains tense.

The S&P 500 dropped 0.1% as of 10.21 Eastern Time Zone. The Dow Jones Industrial Average (DJIA) fell 28 points or 0.1% to 33,565 and the Nasdaq also fell 0.1%.

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Gains in technology stocks helped temper losses elsewhere in the market. Adobe surged 1.7%. The sector is full of companies with high stock values that tend to sway the market up and down.

US crude oil prices surged 1.8% and helped lift energy stocks. Chevron jumped 2.2%.

Bond yields also gained ground. The yield on the 10-year Treasury was up 1.97% from 1.95% late Tuesday.

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On Tuesday, a slump for major indexes led the benchmark S&P 500 into a correction and a loss of 10% from its latest peak. The index saw its last correction in the spring of 2020, as the pandemic overturned the global economy.

The correction worsened into a bear market – a decline of 20% or more – as the S&P 500 declined nearly 34% in about a month.

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Wall Street has been closely looking at the crisis in Ukraine, where Russia has amassed troops for a potential invasion. Russia has started evacuating its embassy in Kyiv. After recognizing the independence of some rebel-held areas, it has already sent troops into eastern Ukraine.

The United States and western countries have imposed sanctions on Russia. Germany withdrew a document required for certification of the Nord Stream 2 gas pipeline from Russia. The crisis has made energy prices highly volatile as any conflict between Russia and Ukraine could disrupt supplies.

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The possibility of a war in eastern Europe has added to the investors’ concerns about the global economy. Stocks have been falling in 2022 as investors watch how rising inflation will impact economic growth and whether the Federal Reserve’s plan to hike interest rates this year will curb inflation.

Wall Street is also reviewing the latest round of corporate report cards to see how companies are dealing with supply chain problems and higher costs.

Lowe shares jumped 3.7% after raising its profit forecast for the year following a strong fourth-quarter financial report. Security software developer Palo Alto Networks surged 4.2% after raising its profit forecast on strong demand for cybersecurity.

TJ Maxx and Marshalls owned TJX plunged 7.5% after reporting disappointing fourth-quarter financial results.