US stocks recovered at midday from earlier, sharper losses in what is shaping up to be the worst week in August for the major indexes.
The Dow Jones Industrial Average (^DJI) turned green, adding a modest 0.1%, while the S&P 500 (^GSPC) fell by about the same amount. The Nasdaq Heavy Composite (^IXIC) fell 0.4% after three straight days of sharp losses.
Meanwhile, the 10-year Treasury yield (^TNX) fell slightly on Friday morning but remained near recent highs.
The moves come as investors contemplate the possibility of interest rates staying higher for a longer period after minutes from this week’s Federal Reserve meeting showed that the central bank would not rule out further increases. The next clue to the Fed’s next move will come from Chairman Jay Powell, who is scheduled to deliver a speech next Friday at the annual Jackson Hole Economic Policy Symposium.
Also, investors looked at the ongoing economic woes in China, where embattled real estate developer Evergrande has filed for bankruptcy in a US court.