2023-08-08 20:50:12
The Dow Jones index, which lost more than 1% during the session, finally lost only 0.45% to 35,314.49 points. The tech-heavy Nasdaq dropped 0.79% to 13,884.32 points and the broader S&P 500 index fell 0.42% to 4,499.38 points.
China released disappointing trade data, including a 14.5% drop in exports year on year in July and a 12.4% drop in imports, the fastest contraction in two years.
On the US foreign trade side, exports and imports in June were weaker than the previous month.
On another front, a warning from ratings agency Moody’s on Monday evening downgraded the rating of a dozen small US banks, citing risks associated with their exposure to commercial real estate, including M&T Bank. Several large banks have also been placed under surveillance by the rating agency, including Bank of NY Mellon and State Street.
Regional banks fell, such as PacWest Bancorp (-1.43%) or Western Alliance (-1.19%). As well as large banks, such as Goldman Sachs (-2.05%) or Citigroup (-1.46%).
“Given that Moody’s predicts a recession in the United States in the coming year, the level and quality of bank capital will be essential to their ability to resist,” said the agency.
“Stocks fell as the global macro backdrop darkened,” commented Edward Moya of Oanda.
The UPS express delivery group, which employs more than 500,000 people worldwide, has announced that it now expects annual sales of around 93 billion dollars, once morest around 97 billion previously, and a adjusted operating margin around 11.8% (12.8% previously). The stock fell 0.86%.
In the second part of the session, the indices nonetheless regained a good deal of lost ground with a return of risk appetite on the part of investors, which also caused oil to rebound and the dollar to recover a little.
According to Patrick O’Hare of Briefing.com, “there is no disputing the idea of a soft landing” for the US economy so far.
Eli Lilly shares soared 14.87% to a record high of $521.60 following the pharmaceutical company raised its full-year guidance and posted better-than-expected quarterly earnings on strong demand from its diabetes medicine Mounjaro, which causes weight loss.
1691539556
#Wall #Street #ends #slightly #poor #Chinese #trade #data