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New York (AFP) – The New York Stock Exchange concluded on Tuesday in the red for the Nasdaq and the S&P 500, while the Dow Jones remained stable, following protests in China over the weekend and awaiting statements from the Chairman of the Reserve. US Federal (Fed).
The Dow Jones index remained close to equilibrium (+0.01% to 33,852.53 points), the Nasdaq, with strong technological coloring, fell by 0.59% to 10,983.78 points and the broader index S&P 500 fell 0.16% to 3,957.63 points.
“Protests in China in response to the zero-tolerance policy once morest Covid have created a source of unease in global markets, despite some optimism that the country may ease restrictions,” Schwab analysts said. .
They also highlighted the fear of a national strike in the transport of rail freight in the United States, while the railway workers, in negotiation on wages, threaten to stop work following December 9.
But it was above all Wednesday’s intervention by the president of the American central bank (Fed), Jerome Powell, and the grooming of portfolios at the end of the month that made investors cautious.
“The markets are hesitating before Powell’s intervention on Wednesday,” Karl Haeling of LBBW told AFP, referring to the speech the Fed official is to deliver at a conference where he will also be interviewed.
So far the Fed has raised rates by 75 basis points four times in a row to between 3.75% and 4%, but “markets now expect Mr. Powell to signal that he there will only be a 50 basis point hike in December,” Haeling said. The next monetary decision is scheduled for December 14.
According to the LBBW analyst, the shares even have “a chance to trade higher” on Wednesday, “as long as Mr. Powell does not create a surprise”.
“If he says what everyone is already thinking, then there will be a sigh of relief and that should lead to some upside trading,” he said.
Today’s economic news delivered mixed data.
US consumer confidence deteriorated once more in November, to a level close to analysts’ expectations. The general index of the Conference Board fell to 100.2 points, once morest 102.2 points the previous month.
For its part, the Case-Shiller house price index showed a further decline of 1.2% in September, reducing the annual increase to +10.4% once morest +13% the month before.
On the side, Apple weighed on the Nasdaq, dropping 2.11% to 141.17 dollars, while several analysts warned that shipments of iPhones would not be there for the holiday season in because of protests at the contract factory in Zhengzhou, China, which affected production.
An analyst from TFI Asset management, quoted by Bloomberg, estimates that shipments of iPhones 14 Pro and 14 Pro Max might be 15 to 20 million units lower in the fourth quarter.
Shares of chain stores were on the rise, such as Macy’s (+1.51%) or Kohl’s (+3.48%), while the national distribution federation issued an encouraging opinion on the good disposition of consumers for year-end spending despite inflation.
More Americans than last year have thus opened their wallets in recent days between Black Friday and Cyber Monday, the big weekend of massive promotions in stores and on the internet which traditionally marks the start of the Christmas shopping.
This benefited cruise line stocks, such as Carnival (+4.61%) which recorded a record volume of bookings during Cyber Monday, which benefited the entire travel sector, from Royal Caribbean (+3 .15%) to American Airlines (+2.24%) via Expedia (+2.81%).
Boeing was one of the big winners of the Dow Jones (+2.03%).
On the bond market, the rates on 10-year Treasury bills rose a little, to 3.76% once morest 3.68% the day before, while the dollar strengthened.
© 2022 AFP