Dow, S&P 500 end higher and Nasdaq books 2nd straight drop, but Russell 2000 gets whacked amid Powell hearing

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The Dow Jones Industrial Average and the S&P 500 logged modest gains Wednesday, while the Nasdaq Composite rang up its second consecutive loss, after Federal Reserve Chairman Jerome Powell told a House Financial Services Committee that inflation will moderate and that he believes that policy makers can combat rising pricing pressures if they run even hotter. The Dow DJIA, +0.13% closed 0.1% higher at around 34,933, the S&P 500 index SPX, +0.12% advanced 0.1% at about 4,374, pulling back after hitting an intraday high Wednesday at 4,393.68; the Nasdaq Composite Index COMP, -0.22% declined 0.2% at around 14,645, marking its second decline in a row. The small-capitalization Russell 2000 index RUT, -1.62% suffered another sharp drop, sinking more than 3% over the past two sessions. In corporate news, shares of Bank of America Corp. BAC, -2.46% dropped after the moneycenter bank reported a second-quarter profit that rose above expectations but revenue fell short, weighed by misses in the consumer banking and global markets businesses. BlackRock Inc. BLK, -2.97% shares fell after the money manager reported second-quarter profit and revenue that rose above expectations, as assets under management increased 30% and net inflows topped $80 billion. Meanwhile, the Fed's latest deep dive on the economy confirmed the obvious: The U.S. is growing faster, but the recovery is being restrained by widespread shortages of labor and supplies.The findings from the central bank's so-called Beige Book, which largely mirrored the more timely remarks by Powell during his appearance in Congress on Wednesday. The moves in stocks also came as the 10-year benchmark yield skidded lower and prices for government debt rose. The 10-year note TMUBMUSD10Y, 1.343% was at around 1.34% from aroun 1.41% on Tuesday. Treasury yields fall as prices climb.

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