Operators of the New York Stock Exchange (GETTY IMAGES NORTH AMERICA/AFP/SPENCER PLATT)
The New York Stock Exchange ended lower on Wednesday in a lackluster market marked by profit-taking in the absence of new major economic indicators, against the backdrop of the specter of inflation.
The Dow Jones lost 0.57%, the Nasdaq index dropped 1.06% and the broader S&P 500 index lost 0.70%.
“There is a kind of unease today,” reacted Steve Sosnick of Interactive Brokers.
Added to concerns about rising rates and the oil boom on Tuesday was the feeling that “China is not stimulating its economy as much as the market had hoped”, added the analyst, s relying on targeted measures and not a major recovery plan, as has been the case in the past.
Still on China, “the fact that they’re going after Apple weighed on the market, because it’s the biggest capitalization.”
According to the Wall Street Journal, the authorities have banned employees of government agencies from professional use of the iPhone, or even, for holders of the Apple smartphone, from taking it to their place of work. The directive would also affect other non-Chinese phone models.
The Cupertino company lost more than $100 billion in market capitalization in Wednesday’s session alone (-3.58%).
Besides Apple, “we saw profit taking on all the big players in tech,” noted Steve Sosnick.
The darling of Wall Street this year, Nvidia, thus lost 3.05%, followed by Amazon (1.39%) and Alphabet (-0.98%).
These four stocks weighing a quarter of the Nasdaq, they alone dragged the index down.
Overall, the variations nevertheless remained moderate, in a New York square that was not very lively.
“I didn’t see any nervousness or fear today,” said Steve Sosnick. “It’s more of a general sentiment that there aren’t a lot of positives to pull the market, which is entering a traditionally tough time,” September being the worst month of the year for equities.
The VIX volatility index, which measures the possible feverishness of investors, has certainly risen in recent days but remains at a very low level.
Elsewhere on the value chart, shared office specialist WeWork took a shine (-3.38%) after the publication of a letter from chief executive David Tolley, according to which the amount of rent to be paid each month by the group “remains too high”.
The New York company, which had recognized last month that its survival was at stake, has thus begun the renegotiation of “almost all” of its leases to reduce its charges.
The Canadian oil pipeline giant Enbridge was mistreated (-5.89%) after the announcement, Tuesday after the stock market, of the acquisition of assets from the American energy company Dominion Energy (-1.80%), for 14 billion dollars in total including debt.
Comcast rose (+0.83%), as a deadline approaches for the sale to Disney (-0.26%) by the cable operator of its stake in the Hulu streaming platform, of which it owns a third of the capital. Managing Director Brian Roberts felt that the value of the platform had increased and justified a higher price than initially set.
The cinema operator AMC (-36.80%), whose share price is extremely volatile, paid the announcement of a program to issue 40 million new shares, the proceeds of which will be used , according to the group, to deleverage and strengthen its cash position.
Manchester United rebounded (+2.17%) after its slide the day before (-18.22%), amid doubts about the sale of the club by the Glazer family, majority shareholder.
© 2023 AFP
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