U.S. stocks stumbled to session lows late-morning Thursday, relinquishing earlier gains on the day amid a pair of central bank speakers at a closely watched symposium in Jackson Hole, Wyo., and weak manufacturing data. The Dow Jones Industrial Average
was 85 points, or 0.3%, lower at 26,120, after the blue-chip index had gained by as many as 187 points at the session peak. The S&P 500 index
declined 0.6% at 2,907 and the Nasdaq Composite Index
retreated 0.9%, suffering the most severe reversal of the major indexes, to reach 7,948. A fresh inversion of the so-called yield curve, where the spread between the 2-year Treasury note
rise above the 10-year Treasury note
a condition that has preceded the past seven economic recessions, also rattled investor sentiment. Kansas City Fed President Esther George indicated Thursday in an interview on CNBC that she would not support further interest-rate cuts and Philadelphia Fed President Patrick Harker said he reluctantly supported the July rate cut but now wants to keep rates steady. On the economic front, IHS Markit’s most recent purchasing manager’s index reading for the U.S. manufacturing services sectors, released Thursday, showed manufacturing slipping into contraction territory with a reading of 49.9 in August, from 50.4 in July and the services sector slowing to 50.9 in August from 53.0 in July, a 3-month low.
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