2023-06-01 20:39:41
The New York Stock Exchange ended higher on Thursday, buoyed by the prospect of a resolution of the American debt file and an inflation indicator which reassured on the trajectory of prices in the United States.
The Dow Jones ended up 0.47%, the Nasdaq index gained 1.28% and the broader S&P 500 index gained 0.99%.
Nasdaq and S&P 500 ended at a closing high of more than nine months.
After having started in disorganized order and within tight margins, the indices left resolutely in the green in the second part of the session.
For Steve Sosnick of Interactive Brokers, the impetus was given by the report from the trade federation ISM. More than the new contraction in manufacturing activity in May in the United States, investors have retained the sharp decline in prices paid, the lowest in five months.
“It’s just a number, but the market wants good news from the inflation front,” commented the analyst.
This indicator is part of a context of newfound serenity following the vote, Wednesday evening in the House of Representatives, of the text suspending the debt ceiling, which must, subject to adoption in the Senate, dispel the specter of default of payment by the United States.
This impending resolution caused bond yields to slide once more. The return of confidence in US Treasuries drives up their prices, which move in opposite directions to their yields.
The rate of US government bonds to 10 years was displayed at 3.60%, once morest 3.64% the day before closing.
The ADP report might have tarnished the picture, as it reported 278,000 job creations in April, significantly more than the 180,000 expected, which signals that the labor market remains tight and potentially a source of overheating prices. . But ADP said the rise in the average salary had decelerated compared to March.
This new snapshot of the job market, which bears witness to a still vigorous economy, has also been put into perspective by a new public statement by a member of the American central bank (Fed), the president of the Philadelphia branch Patrick Harker, in favor of a monetary status quo during the meeting of June 13 and 14.
After having counted on June, then on July, the operators are now betting on an increase in September following two months without change.
On the sidelines, the computer manufacturer Dell (+1.45%) surprised by publishing, in the middle of the session, its quarterly results, which exceeded expectations and showed an improvement in its margins, which pleased Wall Street.
The big names in AI resumed their irresistible rise, following some profit taking on Wednesday, such as Nvidia (+5.82%), Amazon (+1.82%), Microsoft (+1.28% ) or Meta (+2.98%), whose CEO, Mark Zuckerberg, presented a new model of virtual reality headset, dubbed Quest 3.
1685654640
#Wall #Street #ends #higher #good #inflation #news
