2023-09-13 20:51:31
New York (awp/afp) – The New York Stock Exchange ended on a mixed note on Wednesday, without a clear reaction after the publication of a mixed report on inflation, which should not change the trajectory, according to operators. monetary policy of the United States.
The Dow Jones lost 0.20%, the Nasdaq index gained 0.29% and the broader S&P 500 index recovered 0.12%.
The CPI price index was up 3.7% year-on-year in August, according to a report published Wednesday by the US Department of Labor, significantly more than the 3.2% in July, but also more than the 3.6% anticipated by economists.
This acceleration is mainly due to the surge in oil prices, with the energy component of the index having jumped 10.5% over one month.
At the same time, the underlying index, namely excluding energy and food, slowed to 4.3%, compared to 4.7% the previous month.
The report “was close to expectations” and “did not call into question the idea that the Fed (American central bank) was going to take a break next week”, according to Angelo Kourkafas of Edward Jones. “But the door remains open to a further increase in November.”
The bond market mainly took into account the deceleration of underlying inflation, and rates eased. The yield on 2-year US government bonds, more representative of monetary policy expectations, stood at 4.97%, compared to 5.02% the day before at the close.
As for stocks, “a mixed report made for a mixed market,” commented Angelo Kourkafas. “We are going through a period of consolidation, after the significant gains since the start of the year. There is no real catalyst to expect in the short term” before the results season, which will start in mid-October and should bring volatility, according to the analyst.
On the stock market, Netflix fell (-5.16%) after statements from financial director Spencer Neumann, who considered that the strike of American screenwriters and actors was damaging for the entertainment industry.
The manager also explained that revenues from were not yet likely to weigh on the platform’s results. “We are in the construction phase,” he insisted.
American Airlines (-5.67%) was the victim of a downturn after a profit warning linked, according to the company, to the rise in the price of kerosene. The Fort Worth (Texas) group expects to see its margins compressed and is now counting on a profit divided by three to four compared to its previous forecasts.
The low-cost airline Spirit Airlines (-6.25%) also reduced its margin forecasts, again due to the acceleration in fuel prices, but also due to promotions on flights scheduled for second semester.
Citigroup performed well (+1.66%) after the announcement of a major reorganization, the most important for the bank “in almost twenty years”, according to the general director, Jane Fraser. This reshuffle will lead to numerous job cuts, which the manager has refused to quantify for the moment.
The encouraging clinical results of a new messenger RNA vaccine against influenza, published Wednesday, boosted Moderna (+3.18%).
Despite the prospect of a strike on Friday, due to the impasse in negotiations on the renewal of collective agreements, the automobile sector did better than resist.
Ford (+1.66%) and General Motors (+0.57%) finished in the green, supported by comments from analysts, who believe that the impact of a work stoppage has already been integrated by the walk.
The industrial conglomerate 3M fell (-5.70%) after its financial director, Monish Patolawala, warned that the group was counting on “a weak growth context” in 2024.
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