Dow Jones closes in the red
US investors are putting on the brakes after chasing records
March 25, 2024, 10:21 p.m
Listen to article
This audio version was artificially generated. More info | Send feedback
Slight price losses characterized the picture on the US stock markets at the start of the week. Bucking the trend, Boeing shares occasionally rise by up to four percent, and investors react positively to the departure of CEO Calhoun. Meanwhile, chip companies can largely offset their price losses.
After the latest record hunt, investors on Wall Street took a breather at the start of the week. The Dow Jones Index Standard values closed 0.4 percent lower on Monday 39,313 points. The technology-heavy one Nasdaq gave up 0.3 percent 16,384 points after. The broad one S&P 500 lost 0.3 percent 5218 points a.
Last week, the head of the US Federal Reserve, Jerome Powell, fueled investors’ buying mood with his commitment to three interest rate cuts this year. “Stocks could consolidate before Easter,” said XM analyst Raffi Boyadjian. However, there was no sign of this on the European stock markets.
As well on Cryptocurrency market Investors were once again willing to take risks. The cyber motto Bitcoin became more expensive than eleven percent up to $70,840 and thus cracked the 70,000 mark again. “Investors are looking for risk again and are obviously finally ending the series of profit-taking,” stated Timo Emden from Emden Research. The upcoming “halving”, i.e. the artificial shortage of Bitcoin supplies, is casting its shadow. Cryptocurrency and blockchain-related stocks such as the exchange operator also followed in the wake of Bitcoin Coinbasethe crypto miner Riot Platforms and the Software company MicroStrategy clearly.
Chip manufacturers asked
On Wall Street, the continued rise in chip stocks limited losses. The memory chip manufacturer Micron Technology climbed to a fresh all-time high. The stock rose by up to ten percent on $121.41. “I think it’s just a continuation of the excitement around AI-related companies and an opportunity to look for the next Nvidia-type winner,” said Rick Meckler, partner at Cherry Lane Investments. The hype surrounding artificial intelligence (AI) also drove the industry giant’s titles Nvidia around around one percent up.
Meanwhile, a media report about a ban on components from large US technology companies in China had a negative impact on individual stocks. The titles of the chip companies Intel and AMD At times they paid more than four percent a. A report that China wants to ban the industry giants’ chips from its government computers caused selling pressure. “If the Chinese government stops buying products from Intel and AMD, that could reduce sales of both companies by up to five percent each,” said Stacy Rasgon, analyst at US asset manager Bernstein. During trading, AMD was able to make up for the price losses and limit Intel to minus one percent.
Meanwhile, they went against the trend Boeing shares at times by up to just under four percent and thereby curbed the losses of the Dow Jones index. At the end there was one more Plus of 1.4 percent. Investors expressed relief that Boeing CEO Dave Calhoun will vacate the executive chair by the end of the year after a series of safety defects in aircraft production. Further changes in the management of the Airbus rival are also planned. Analysts and investors called the restructuring a positive for Boeing, but stressed that much depends on Calhoun’s successor and the change in the company’s culture.