US Markets Brush Off Second Yield Curve Inversion

Investors appeared to brush off the brief inversion of yields on the two- and 10-year Treasury notes near the end of the session. Such inversions have preceded past recessions, and triggered for a major selloff earlier this month.

Retail chains Target and Lowe's reported higher profits on strong gains in comparable store sales, offering the latest confirmation that US consumers remain strong despite weakness in manufacturing and key overseas markets.

Target surged 20.4 percent, while Lowe's gained 10.4 percent.

Meanwhile minutes from the Federal Reserve's 's July 31 meeting said the US central bank will remain flexible and interest rates will not be on a "preset course" in the face of persistent risks from trade uncertainty and weak global growth.

On July 31, policymakers cut the key interest rate for the first time in more than a decade, a move characterised in the minutes as "part of a recalibration... or mid-cycle adjustment".

The minutes "didn't dissuade investors from the concept that the Fed might be lined up to cut rates again at some point this year", said Art Hogan chief market strategist at National Securities.

Among other stocks, Tesla fell 2.2 percent after the company was sued by Walmart over fires from solar panels. Walmart was flat. (AFP)