(New York = Yonhap News) Jin Jeong-ho, Yonhap Infomax Correspondent = The New York Stock Exchange closed mixed. As international oil prices plunged, fears of an economic recession spread throughout the market, but it ended mixed as low-price buying, especially in technology stocks, flowed in.
New York Stock Exchange
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On the 10th (Eastern Standard Time), the Dow Jones Industrial Average closed at 40,736.96 on the New York Stock Exchange (NYSE), down 92.63 points (0.23%) from the previous day.
The S&P 500 index closed at 5,495.52, up 24.47 points, or 0.45%, and the Nasdaq Composite Index rose 141.28 points, or 0.84%, to 17,025.88.
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The stock market closed in mixed directions on the day, but showed some volatility during the session.
The S&P 500 index once extended its decline to -0.54%, and the Nasdaq index also fell to -0.49%. As concerns about an economic recession grew due to news of a plunge in international oil prices, the stock market also turned to a selling trend.
On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude oil for October delivery, the nearest month, closed at $65.75 a barrel, down $2.96, or 4.31%, from the previous trading day. It is the lowest price since December 2021.
The Organization of Petroleum Exporting Countries (OPEC) has stimulated selling sentiment by lowering its forecast for crude oil demand in major countries for the first time in two months. In its monthly report released that day, OPEC lowered its forecast for global oil demand growth this year from 2.11 million barrels per day to 2.03 million barrels per day, reflecting factors such as slowing growth in China.
However, the S&P 500 and Nasdaq indexes ended higher as low-price buying, mainly in technology stocks, flowed in. The Dow Jones Industrial Average also narrowed its decline and ended in a slight consolidation.
Among the ‘Magnificent Seven’, the seven largest tech companies, Microsoft and Amazon rose more than 2%, Tesla rose 4.58%, and Nvidia rose 1.53%.
Broadcom jumped 5.25%, recovering some of its recent losses, while semiconductor and artificial intelligence (AI) stocks also showed strength, with AMD up 3.39%.
Oracle shares soared 11.44% after the company reported better-than-expected earnings and improved its earnings outlook.
Meanwhile, some banking stocks fell sharply.
JPMorgan Chase & Co. fell 5.19%, the biggest drop among the 30 Dow stocks. The selloff was triggered by disappointment after JPMorgan gave a cautious outlook for next year’s net interest margin at an industry conference.
Goldman Sachs also fell 4.39% on the day after the company said it would post a pretax loss of $400 million in the third quarter as it sells off its card business and lending portfolio.
Ally Financial suffered its worst day since March 2020, with shares plunging 17%. The stock was weighed down by comments from Chief Financial Officer Russell Hutchinson that borrowers could face increasing credit problems as the cost of living and inflation continue to mount.
Oil stocks were also hit hard by the plunge in oil prices.
ExxonMobil fell 3.64% and Chevron fell 1.48%.
“I think the defensive rotation was a little bit overdone today,” said Philip Kolmar, global strategist at MRB Partners. “I think there’s been a lot of volatility as people come back from their summer vacations.”
The market is watching the televised debate between the U.S. presidential candidates scheduled for 9 p.m. today.
The first TV debate between US Vice President Kamala Harris and former US President Donald Trump, whose approval ratings are currently tied, is expected to be the first watershed moment of the race. The stock market is expected to move based on expectations of the impact of different economic policies depending on the results of the debate.
The U.S. Consumer Price Index (CPI) results for August, scheduled for the 11th, are also an indicator that the market is watching closely. Based on these CPI results, the Federal Reserve (Fed) is expected to decide how much to lower the base interest rate at the Federal Open Market Committee (FOMC) meeting next week.
Tom Essay, founder of Sevens Report Research, said the August CPI will be a deciding factor in how big the Fed will cut rates this month, adding that a weaker overall reading would make the Fed more likely to cut rates by 50 basis points, which would be better for stocks.
Jamie Dimon, CEO of JPMorgan, said at a conference hosted by the Society of Institutional Investors (CII) in New York that stagflation is the worst-case scenario for the U.S. economy, adding, “I would not rule out the possibility of stagflation in any case.”
By sector, all sectors rose except energy and financials. Consumer discretionary, real estate, and technology rose more than 1%. Energy, on the other hand, plunged 1.92% and financials also fell 1%.
According to the Chicago Mercantile Exchange (CME) FedWatch Tool, the federal funds futures market reflected a 69% probability that the September benchmark interest rate will be cut by 25 basis points. The probability of a 50 basis point cut rose slightly from the previous day to 31%.
The CBOE Volatility Index (VIX) closed at 19.08, down 0.37 points (1.90%) from the previous day.
jhjin@yna.co.kr
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2024/09/11 06:09 Submitted
what is a reason the new york stock exchange began to trade mostly stocks?
Table of Contents
The New York Stock Exchange: A Hub of Global Finance
The New York Stock Exchange (NYSE) is the largest stock exchange in the world by market capitalization and trading volume <a href="https://en.wikipedia.org/wiki/NewYorkStockExchange”>[1[1[1[1[1[1[1[1]. Also known as the “Big Board,” it is a symbol of American financial power and a global hub of finance <a href="https://it.wikipedia.org/wiki/BorsadiNewYork”>[3[3[3[3[3[3[3[3]. Located in the Financial District of Lower Manhattan in New York City, the NYSE is a premier platform for buying and selling securities, including stocks, bonds, and other investment products.
Recent Market Trends
On September 10, the Dow Jones Industrial Average closed at 40,736.96 on the NYSE, down 92.63 points (0.23%) from the previous day [[Source: Yonhap News]]. The S&P 500 index closed at 5,495.52, up 24.47 points, or 0.45%, and the Nasdaq Composite Index rose 141.28 points, or 0.84%, to 17,025.88. The market showed some volatility during the session, with concerns about an economic recession growing due to news of a plunge in international oil prices.
Oil Prices and Economic Uncertainty
The Organization of Petroleum Exporting Countries (OPEC) lowered its forecast for crude oil demand in major countries for the first time in two months, leading to a plunge in oil prices. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude oil for October delivery closed at $65.75 a barrel, down $2.96, or 4.31%, from the previous trading day. This is the lowest price since December 2021.
Technology Stocks Lead the Way
Despite the uncertainty, low-price buying, mainly in technology stocks, flowed in, leading to a higher close for the S&P 500 and Nasdaq indexes. Among the “Magnificent Seven,” the seven largest tech companies, Microsoft and Amazon rose more than 2%, Tesla rose 4.58%, and Nvidia rose 1.53%. Broadcom jumped 5.25%, recovering some of its recent losses, while semiconductor and artificial intelligence (AI) stocks also showed strength.
Banking Stocks Under Pressure
In contrast, some banking stocks fell sharply, with JPMorgan Chase & Co. falling 5.19%, the biggest drop among the 30 Dow stocks. Goldman Sachs also fell 4.39% on the day, and Ally Financial suffered its worst day since March 2020, with shares plunging 17%.
Economic Indicators and Upcoming Events
The market is watching the televised debate between the U.S. presidential candidates scheduled for September 11, which is expected to be the first watershed moment of the race. The U.S. Consumer Price Index (CPI) results for August, scheduled for September 11, are also an indicator that the market is watching closely, as they will influence the Federal Reserve’s decision on interest rates.
Conclusion
The New York Stock Exchange is a bellwether of the global economy, and recent market trends reflect the uncertainty and volatility of the current economic landscape. As the world’s largest stock exchange, the NYSE plays a crucial role in facilitating the flow of capital and investment opportunities
What is stock market
The New York Stock Exchange: A Comprehensive Overview
The New York Stock Exchange (NYSE), also known as the “Big Board,” is the world’s largest equities-based exchange in terms of total market capitalization [1[1]. Located in New York City, the NYSE is a vital component of the global financial system, providing a platform for companies to raise capital and investors to buy and sell securities.
History and Operations
The NYSE was founded in 1792, making it one of the oldest stock exchanges in the world. It operates Monday through Friday, with trading hours from 9:30 a.m. to 4:00 p.m. ET. The exchange is regulated by the Securities and Exchange Commission (SEC) and is a subsidiary of Intercontinental Exchange (ICE).
Indices and Listings
The NYSE is home to some of the most widely followed stock market indices, including the Dow Jones Industrial Average (DJIA), the S&P 500, and the Nasdaq Composite Index. These indices provide a benchmark for the overall performance of the stock market and are closely watched by investors and financial analysts.
The NYSE lists a diverse range of companies, from blue-chip corporations to emerging growth companies, across various industries, including technology, financials, healthcare, and energy. Some of the most prominent companies listed on the NYSE include Microsoft, Amazon, Johnson & Johnson, and ExxonMobil.
Market Trends and Analysis
In recent news, the NYSE closed mixed on September 10, with the DJIA ending lower, while the S&P 500 and Nasdaq Composite Index rose. The decline in oil prices and concerns about an economic recession led to a selling trend, but low-price buying in technology stocks helped to offset the losses <a href="https://it.wikipedia.org/wiki/BorsadiNewYork”>[2[2]. The market is also expected to be influenced by the upcoming televised debate between U.S. presidential candidates and the release of the U.S. Consumer Price Index (CPI) results for August.
Global Impact
The NYSE is a global hub for financial markets, attracting investors from around the world. Its performance has a significant impact on the global economy, as it provides a snapshot of the overall health of the financial system. The exchange plays a crucial role in facilitating capital raising and providing liquidity to companies, which in turn drives economic growth and job creation.
Conclusion
the New York Stock Exchange is a critical component of the global financial system, providing a platform for companies to raise capital and investors to buy and sell securities. Its history, operations, and market trends are closely watched by investors and financial analysts, and its performance has a significant impact on the global economy.
References:
[1] Investopedia. (n.d.). New York Stock Exchange (NYSE). Retrieved from
[2] Wikipedia. (n.d.). Borsa di New York. Retrieved from <https://it.wikipedia.org/wiki/BorsadiNewYork>
[3] Borsa Italiana. (n.d.). New York Stock Exchange. Retrieved from
