The New York Stock Exchange was down on Monday, in a market with low volumes due to the closure of European markets and nervous with the rise in interest rates and the deterioration of the conflict in Ukraine.
Around 2:10 p.m. GMT, the Dow Jones lost 0.12%, the Nasdaq index, with strong technological coloring, lost 0.15%, and the broader S&P 500 index, 0.10%.
In half an hour following the opening of Wall Street, the indices had already made several round trips between red and green.
On this Easter Monday, a holiday in Europe where the stock markets are closed, “volumes will be low”, warned Peter Cardillo, of Spartan Capital. “We are heading towards a turbulent market. »
For Patrick O’Hare of Briefing.com, the hesitation in the indexes corresponds “rather to a lack of buyers”, he wrote in a note.
The weekend was marked by a new escalation of the conflict in Ukraine, marked by bombardments on several cities in the country, in particular Lviv, so far relatively spared.
For Peter Cardillo, the recovery of the dollar, but also of oil and gold, testified to this access of market nervousness. Another indicator, the VIX index, which measures market volatility, regained height following its contraction on Friday.
Another subject of concern is the sharp rise in interest rates, which accompanies the proactive declarations of the American Central Bank (Fed), which is running more and more quickly following inflation.
The benchmark yield on 10-year US government bonds rose to 2.87% on Monday, for the first time since December 2018.
Some market players are worried regarding a slowdown in the economy, or even a recession, the probability of which is estimated at 35% in the next two years by Goldman Sachs analysts.
Wall Street also fears that China will mark time, the country having reported on Monday a slowdown in industrial production growth in March, a month marked by containment measures and factory closings.
Finally, the New York Stock Exchange was digesting, according to Peter Cardillo, the first wave of corporate results, which took place last week.
In a turbulent zone since the announcement of Elon Musk’s stake, Twitter rebounded on Monday, gaining 3.19% to 46.52 dollars.
The platform’s former chief executive and co-founder Jack Dorsey said in a series of tweets on Sunday that the board, which was overwhelmingly opposed to Elon Musk’s takeover, was a point of “dysfunction of the company”.
Wall Street welcomed the results of Bank of America (+2.33% to 38.44 dollars), above expectations although in decline. Retail banking, with notably an increase in credit volume, offset the slowdown in investment banking.
The Chinese Uber Didi Chuxing took on a new shine (-10.97% to 2.19 dollars) following the publication on Saturday of a turnover down nearly 13%. It has also set May 23 as the date of the general meeting which should ratify the delisting of the New York Stock Exchange.
Another target of investors, the asset management company Charles Schwab (-11.15% to 73.52 dollars), guilty of having recorded revenues and a profit below expectations and falling, weighed down by the drop in transactions .
Nasdaq