Evacuations ordered as wildfire burns in foothills of national forest east of LA

SAN BERNARDINO, Calif. (AP) — Evacuations were ordered Saturday as a wildfire scorched the foothills of a national forest east of Los Angeles, amid a days-long heat wave that pushed temperatures into the triple digits across the region.

The so-called Line Fire was burning uncontrolled along the edge of the San Bernardino National Forest, about 65 miles (105 kilometers) east of LA. As of Saturday afternoon, the blaze charred about 11 square miles (28 square km) of grass and chaparral, leaving a thick cloud of dark smoke blanketing the area.

The fire began Thursday evening, and the cause is under investigation.

About 500 firefighters were battling the blaze, supported by water-dropping helicopters that hovered over homes and hillsides, along with aircraft.

Firefighters said the blaze had the “potential for large fire growth” in the next 12 hours.

No injuries were reported, and no homes or other structures had been damaged or destroyed.

The National Weather Service said downtown Los Angeles hit a high of 112 degrees Fahrenheit (44 Celsius) Friday, which marked the third time since 1877 that a high of 112 degrees or more has been reached there.

Fire crews monitor the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

Fire crews monitor the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

A water dropping helicopter hovers over a neighborhood as crews battle the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

Fire crews monitor the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

Fire crews monitor the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

A helicopter drops water onto the Line Fire Saturday, Sept. 7, 2024, in Highland, Calif. (AP Photo/Eric Thayer)

NEW YORK (AP) — U.S. stocks are drifting in mixed trading, offering a break from their whipsaw moves in recent weeks. The S&P 500 slipped 0.1% early Monday. The Dow Jones Industrial Average was up 255 points, or 0.6%, and the Nasdaq composite was off 0.8%. Alcoa rose after saying it would sell its stake in a Saudia Arabian joint venture to Saudi Arabian Mining Co. Drops for Big Tech stocks dragged on indexes, though. Treasury yields edged lower in the bond market. The Federal Reserve is expected to cut its main interest rate on Wednesday for the first time in more than four years.

THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.

Wall Street was mixed early Monday as optimism over a potentially big rate cut from the Federal Reserve this week boosted most sectors, with the exception of technology stocks.

Futures for the S&P 500 were unchanged before the bell, while futures for the Dow Jones Industrial Average ticked 0.2% higher. Futures for the technology-heavy Nasdaq tumbled 0.3%.

Apple was down 2.4% early, while chipmaker Micron was dragged down about 3%.

Stocks were broadly supported by the bond market, where Treasury yields eased ahead of the Fed’s meeting. The unanimous expectation on Wall Street is for the Fed to deliver the first cut to interest rates in more than four years on Wednesday, and traders are rekindling hopes it may offer bigger-than-usual relief.

Many economists would like to see the Fed announce a half-point rate cut this week, party because they think the officials should have begun cutting rates at their previous meeting in July. Wall Street traders on Friday signaled their expectation that the Fed will carry out at least two half-point cuts by year’s end, according to futures prices.

The Fed has been keeping its main interest rate at a two-decade high to slow the economy enough to stifle high inflation. With inflation having eased substantially from its peak two summers ago, the Fed has said it can focus more on bolstering the slowing job market and economy.

The Fed faces a balancing act in cutting rates. Lowering them relieves pressure on the economy but can also fuel more inflation. Reports last week showed some underlying upward pressure on prices. That initially pushed traders to ratchet back expectations for the size of the Fed’s upcoming move.

On Friday, though, traders were seeing roughly a coin flip’s chance that the Fed could deliver a large cut of half of a percentage point, instead of the more traditional quarter of a point, according to data from CME Group. The federal funds rate is currently sitting in a range of 5.25% to 5.50%.

Shares of Boeing were somewhat stable after Friday's decline, which was triggered by aircraft assembly workers who walked off the job. The ratings agency Fitch said a prolonged strike could lead to a ratings downgrade for the troubled aircraft manufacturer.

In Europe, France’s CAC 40 and Britain's FTSE 100 were flat at midday, while Germany’s DAX lost 0.2%.

In Asian trading, Hong Kong’s Hang Seng swung between gains and losses during the day, closing 0.3% higher at 17,422.12 after data released over the weekend showed China’s economy slowed further in August. Factory output, retail sales, and investment failed to meet expectations. Meanwhile, the unemployment rate unexpectedly surged to a six-month high, adding to challenges.

“The drums of a deepening economic slowdown are beating louder, and it’s time for China’s leadership to decide whether to step up or risk sliding further into stagnation,” Stephen Innes of SPI Asset Management said in a commentary.

Australia’s S&P/ASX 200 added 0.3% to 8,121.60.

Markets in Japan, mainland China and South Korea were closed for holidays.

In currency trading, the Japanese yen strengthened against the U.S. dollar, which fell to 140.03 yen from 140.82 yen. The dollar briefly dipped below 140 yen for the first time in more than a year. The euro cost $1.1124, inching up from $1.1076.

In energy trading, benchmark U.S. crude gained 65 cents to $68.30 a barrel. Brent crude, the international standard, added 56 cents to $72.17 a barrel.

On Friday, the S&P 500 rose 0.5% for a fifth straight gain. It is just 0.7% below its all-time high set in July. Rallies for Microsoft, Broadcom and other big technology stocks helped it claw back almost all its recent losses, the worst in nearly 18 months.

The Dow Jones Industrial Average jumped 0.7% and the Nasdaq composite added 0.7%.

FILE - The American flag hangs from the front of the New York Stock Exchange on Sept. 10, 2024, in New York. (AP Photo/Peter Morgan, File)

FILE - A currency trader passes by a screen showing the Korea Composite Stock Price Index (KOSPI), top center left, at the foreign exchange dealing room of the KEB Hana Bank headquarters in Seoul, South Korea, on Sept. 4, 2024. (AP Photo/Ahn Young-joon, File)

FILE - A person looks at an electronic stock board showing Japan's Nikkei index at a securities firm in Tokyo, on Sept. 9, 2024. (AP Photo/Eugene Hoshiko, File)