The Dow Jones continues to rise. Recently, it soared more than 300 points following the US revealed that orders for durable goods fell more than expected. This will be a factor causing the US Federal Reserve (Fed) to accelerate in raising interest rates.
In addition, the stock price was driven by investor speculative orders. After the stock price plummeted last week. Amid concerns regarding the Fed raising interest rates to curb inflation.
As of 10:12 p.m. Thai time, the Dow Jones Industrial Average was 33,151.17 points, plus 334.25 points or 1.02%.
In trading last week, Wall Street’s three indexes recorded their biggest weekly losses since the start of 2023, with the Dow slumping 3% for the fourth straight week, while the S&P 500. and the Nasdaq fell 2.7% and 3.3%, respectively.
The US Commerce Department said Orders for durable goods in the United States, such as aircrafts, cars and large machinery that are older than three years, fell 4.5% in January, following a 5.1% gain. % in Dec.
Durable goods orders were hit by a 54.6% drop in aircraft orders.
Stock markets also benefited from a weak dollar and a drop in US Treasury yields.
The dollar’s depreciation will boost the profits of listed companies earning from abroad. As for the decline in the yield of the 10-year US government bond, which is the US government bond used as a reference in determining the price of bonds around the world. This includes the US mortgage interest rate. will give consumers more money to spend And help reduce the cost of debt repayment of various companies. enabling these companies to increase their investment and increase dividend payments to investors
Investors await retail earnings releases this week. To keep an eye on the impact of the Fed’s interest rate hike on consumer spending. Including the release of the Purchasing Managers Index (PMI) in both the manufacturing and service sectors of the United States. Before the release of non-farm payrolls next week.