Nervously waiting for the Fed
Dow hardly moves from the spot
2/7/2022 11:06 p.m
After a turbulent week, Wall Street investors are looking for direction. The Dow Jones Industrial oscillates between moderate gains and losses during trading and then ends the day unchanged on a percentage basis. At the Nasdaq, takeover fantasies are a dominant theme.
US stock markets closed unevenly on Monday. According to stockbrokers, investors are still shocked by the figures presented last week Facebook mother Meta in the neck. The first-ever decline in user numbers had brought the group a record crash in market value of $200 billion. The downward trend continued on Monday, albeit at a much slower pace. Meta shares fell another five percent.
The forthcoming turnaround in interest rates also caused investors to continue to act cautiously. After the surprisingly strong job market report on Friday, investors speculated on faster and larger rate hikes by the US Federal Reserve. the Dow Jones the standard values stagnated at 35,091 points. The tech-heavy one Nasdaq closed 0.6 percent lower at 14,015 points. The broad one S&P 500 lost 0.4 percent to 4483 jobs.
Amazon were able to increase by 0.2 percent. On Friday, the online retailer had increased its market value by 190 billion dollars with a price jump of 13.5 percent and thus achieved the highest price increase ever achieved by a company within one day. “These huge swings in prices at very well-known and well-studied companies are somewhat concerning to investors’ sense of predictability in stocks and the market in general,” said Louis Navellier, chief investment officer at Navellier & Associates.
The technology stocks pushed to the start of the week peloton into the limelight. Takeover speculation gave the fitness equipment manufacturer a record price jump of up to 31 percent. According to an insider, Amazon is interested in Peloton. According to the “Financial Times”, the sporting goods manufacturer Nike is also considering an offer. The exercise bike supplier has been in particularly high demand over the past year as the pandemic boosted demand.
There was also tailwind for Spirit Airlines. The planned takeover by the rival frontier let the shares of the low-cost airline take off by more than 17 percent. On the other hand, the US-listed shares of the Chinese online retailer gave way Alibaba by more than six percent. Investors speculated that major shareholder SoftBank could downsize its stake after Alibaba registered an additional one billion “American Depositary Shares,” which could facilitate the move.