Wednesday November 10, 2021
DoorDash sprint off
Inflationary value makes investors tremble
The latest US inflation data has worried investors and there is selling sentiment on Wall Street on Wednesday. The food supplier DoorDash is climbing steeply. After his announcement that he would take over rival Wolt, the competition’s papers slide.
Wall Street is troubled by renewed fear of premature rate hikes by the Fed. The US standard value index Dow Jones closed on Wednesday 0.7 percent lower to 36,079 points. The technology-heavy Nasdaq fell 1.7 percent to 15,622 points. The broad S&P 500 lost 0.8 percent to 4646 points.
the US inflation rate rose by a surprisingly strong 6.2 percent in October, the highest value in 31 years. “Even if the Fed believes that inflation is temporary, there is increasing evidence that this is not true,” said Rick Meckler, partner at asset manager Cherry Lane. So far, the US central bankers have not taken any surprising steps. “But even they are starting to get a little worried about this increase.” Thomas Hayes, manager at asset manager Great Hill, on the other hand, urges prudence. The current setback is a natural breather. “Prices have risen sharply in a short period of time compared to their September lows.”
Interest rate hike speculation on the foreign exchange market helped Dollar index, which reflects the exchange rate to major currencies, at a rate plus of one percent to 94.889 points. Government bonds, on the other hand, flew out of the custody accounts. This increased the return on the ten year treasuries to 1.544 percent.
Some investors also coincided with the “anti-inflation currency” gold a. The price of the precious metal rose up to two percent to a five-month high of $ 1,868.20 a troy ounce (31.1 grams). This helps gold miners like AngloGold Ashanti, Barrick, Gold Fields, Harmony, Newmont, Kirkland and Sibanye Stillwater at price gains of 4.8 percent.
Other investors turned to cryptocurrencies like Bitcoin or Ethereumwhich hit new record highs of $ 69,000 and $ 4,867.60, respectively.
Movement in delivery services
At the company advanced DoorDash into the spotlight. The food supplier wants the Finnish rival for seven billion euros Wolt swallow and thus gain a foothold in Germany, among others. With this deal the international expansion will get going, which would otherwise be much more protracted, commented analyst Jake Fuller from the brokerage house BTIG. DoorDash titles jumped almost twelve percent. In Amsterdam the shares slipped from Just Eat Takeaway, which also includes the DoorDash rival GrubHub in addition to “Lieferando”, fell by 3.3 percent. The papers of the operator Above, who is also involved in this branch with “Uber Eats”, fell 4.7 percent.
After a slump in sales and profits, the shares slipped Coinbase by more than eight percent. “We had expected a weak result because the turnover of the cryptocurrency exchange depends heavily on the rates of cyber currencies, which were low for most of the past quarter,” wrote analyst Michael Miller of the research house Morningstar. “But even when you take the market environment into account, these results are disappointing.”
Bringing great interest from investors Rivian the world’s largest IPO of the current year. The shares of the electric car maker, which is supported by Amazon and Ford, closed a good 29 percent above the issue price of 78 dollars on their debut. The company had allotted the papers over the range of 72 to 74 dollars and increased the number of shares sold to 153 from 135 million. This brings the issue volume to twelve billion euros.