Tuesday April 13th 2021
Vaccination suspension curbs the Dow
Nasdaq chases records
The at least temporary suspension of vaccination with the Johnson & Johnson vaccine dims the prospect of a quick opening of the economy. Investors are withdrawing from the Dow Jones, while technology stocks are on the rise.
The prices on the technology-heavy Nasdaq stock exchange moved unchecked in forward gear on Tuesday. The selection index Nasdaq 100 reached a record high shortly after the starting bell and subsequently increased its profits more and more. After a brief rise above 14,000 points, it ended the trading day 1.21 percent higher at 13,986.49 points. Tech share prices benefited from falling US bond yields after inflation data in March.
The Dow Jones Industrial, on the other hand, was kept in check by a possible preliminary out of vaccinations with the active ingredient from Johnson & Johnson in the USA. The leading US index closed 0.20 percent lower at 33,677.27 points. For the broad market S&P 500 it went up, however, by 0.33 percent to 4141.59 points. Over the course of the year, it had reached a record high at 4,148.00 meters.
In March, inflation in the USA increased surprisingly significantly. However, observers justified this with higher energy prices. The core rate of inflation, in which volatile prices for energy and food are factored out, is still moderate, however. As a result, US yields fell and tech stocks rose. Technology companies are seen as beneficiaries of low interest rates because they encourage companies to invest in software and hardware. So laid Apple– Papers at the top of the Dow rose 2.4 percent.
The shares of Johnson & Johnson however, as one of the weakest index values, lost 1.3 percent. After reports of venous thromboses that occurred after vaccinations with the pharmaceutical company’s active ingredient in the USA, the responsible US authorities recommended a temporary suspension of vaccinations. This recommendation will probably only be maintained for a few days. The US pharmaceutical company is also postponing the launch of the vaccine in Europe.
While Johnson & Johnson’s share price fell, the stocks of its competitors in the global corona vaccine business, Biontech and Moderna, by 6.7 percent and 7.4 percent respectively.
The Dow was also held back by the losses from Goldman Sachs and JPMorgan of a good one percent each. Both investment banks will publish their reports on the first quarter of the business on Wednesday before the starting bell.
At American Airlines caused the news that the airline expects an adjusted loss of 2.8 billion US dollars for the first quarter, for a price loss of 1.5 percent. The Tesla stock expanded the previous day’s profits and rose again by 8.6 percent to $ 762.
The Euro rose after US consumer prices, last costing $ 1.1950 in New York. The European Central Bank had previously set the reference rate at 1.1896 (Monday: 1.1904) dollars. The dollar cost 0.8406 (0.8401) euros.
US Treasuries gained: The futures contract for ten year treasuries (T-Note Future) climbed 0.30 percent to 132.09 points. In return, the yield on ten-year bonds fell to 1.62 percent.
.