The New York Stock Exchange ended higher on Thursday, encouraged by less bad than expected corporate results and indicators that support the thesis of a measured slowdown in the economy.
The Dow Jones gained 0.51%, the tech-heavy Nasdaq index gained 1.36%, and the broader S&P 500 index advanced 0.99%.
The indices oscillated between red and green for a good part of the session, before stabilizing above their level the day before.
For Quincy Krosby, of LPL Financial, Wall Street remained well oriented by the results of companies, which if they are less good than the previous quarter, have not seen any major accident so far.
“The market treats these companies well as long as the figures are less bad” than expected, explained the analyst.
Symbol of this dynamic, Tesla (+ 9.78% to 815.12 dollars), which did less well than expected on its turnover and failed to publish a new record profit, but which investors nevertheless welcomed for the fact a solid result and confirmed forecasts.
“Considering the factory closures in China, Tesla has done better than feared,” Dan Ives of Wedbush Securities said in a note.
“Tesla was a catalyst for the market today,” according to Quincy Krosby.
Apple (+1.51%), Amazon (+1.52%) or Nvidia (+1.36%), among the largest capitalizations of the rating, have thus benefited.
Among the other companies noted, the rail giant CSX (+4.24%), driven by a surge in demand.
But the picture remains mixed, as shown by United Airlines, American Airlines or the asset manager Blackstone (-3.18%), which all warned of a deterioration in the economy in the months to come.
This disturbing speech has earned the poopers United (-10.17%) and American Airlines (-7.43%) to be shunned by investors, as has the entire sector, from Delta Air Lines (-2 .71%) in Southwest (-1.47%).
Another reason to put things into perspective, the publication of several poor macroeconomic indicators, in particular weekly jobless claims, which came out above expectations, at the highest level since November.
As for the activity index of the Philadelphia region (northeast), it contracted violently, to -12.3, while economists saw it in slight progression.
The possibility of a half-percentage-point hike at the next U.S. Central Bank (Fed) meeting is getting further away every day, and traders further increased the likelihood of a 0 hike on Thursday. .75 points.
Thursday’s decision by the European Central Bank (ECB) to raise its key rate by half a point, a more aggressive stance than expected, pushed the dollar down once morest the euro.
The movement was appreciated by Wall Street, many of which carry out a large part of their turnover outside the United States, in currencies other than the dollar.
The whole thing weighed on US bond rates. The yield on 10-year US government bonds fell sharply to 2.87% from 3.02%, its lowest level in two weeks.
“The question that torments the market is whether we have come out of a bear market”, according to Quincy Krosby, for whom much will be played out next week with the entry into the track of the heavyweights of tech and the Fed meeting.
The cruise line Carnival took on water (-11.18% to 9.85 dollars) following launching a capital increase of one billion dollars, only two months following a bond issue of one billion.
After the announcement of its upcoming takeover by Amazon, 1Life Healthcare, the group behind the private care network One Health, jumped 69.45%, to 17.25 dollars, close to the price offered by the Seattle giant (18 dollars).