[이코노믹리뷰=노성인 기자] New York stocks rose all at once as investor sentiment improved amid falling international oil prices.
On the New York Stock Exchange (NYSE) on the 9th (local time), the Dow Jones Industrial Average finished trading at 33,286.25, up 653.61 points (2.0%) from the previous day. The S&P 500 rose 107.18 points (2.57%) to close at 4,277.88, and the Nasdaq Composite rose 460.00 points (3.59%) to close at 13,255.55.
Analysts say that the risk appetite in the market has revived as international oil prices plunged more than 10% following the Russian invasion of Ukraine.
On the New York Mercantile Exchange on the same day, the price of West Texas Intermediate (WTI) for April contract ended at $108.70 per barrel, down 15 dollars (12.1%) from the previous day. It is the largest daily decline since November 26 last year. Brent crude also soared to $139 a barrel earlier this week, the highest since 2008, but plummeted 13% on the day to $111. At one point during the day, it plunged more than 17% from the previous trading day to as low as $105 a barrel.
The sharp drop in international oil prices is interpreted as the followingmath of rising expectations from oil producing countries, such as the United Arab Emirates (UAE) asking the Organization of Petroleum Exporting Countries (OPEC) to increase production more rapidly.
In addition, prices of gold (-2.27%), silver (-3.23%), copper (-2.56%), and platinum (-4.59%), which had been attracting attention as a representative safe asset along with international oil prices, also fell in parallel.
In an executive order today, President Biden directed the Treasury Department and other financial institutions to analyze the impact of virtual currencies on financial stability and national security. As a result, the price of Bitcoin rose more than 9% from the previous trading day to exceed $42,000, while the price of Ethereum also recorded an increase of more than 6%.
By sector, only energy and utilities-related stocks fell, while the rest of the sectors rose. In particular, technology stocks rose by 4%, while stocks related to finance, telecommunication, and materials (materials) rose more than 3%.
By stock, technology stocks led the market’s uptrend. Tesla recorded $858.97, up $34.57, or 4.19%, from the previous trading day. In addition, Netflix (4.98%), Microsoft (4.59%), Apple (3.50%), Nvidia (6.97%), Alphabet (4.87%) and Metaplatform (4.29%) also recorded an upward trend.
On the other hand, refinery stocks such as ExxonMobil (-5.79%) and Marathon Oil (-2.86%), whose stock prices rose due to the rise in oil prices, showed a decline on the same day.
Experts diagnosed that concerns regarding volatility continue to rise while the market has shown a relief rally as the rise in raw material prices such as oil prices has slowed.
“The market seems to be taking a little breather today,” Virage Patel, global macro strategist at Banda Research, told the Wall Street Journal. Rather, it seems to be profit realization for safe assets where ‘dead cat bounce’ appears.”
