(CercleFinance.com) – The session ends with one of the first consolidations of more than 1% since January 31… and it is even the second heaviest decline of the year for the Nasdaq-100 (-1 .8%) which ends around 17,900 (17,894).
The S&P500 fell by -1% to 5,078 and the Dow Jones by -1%… but all eyes were on ‘tech’ and the Nasdaq (-1.65%), weighed down by Apple and Microsoft which were almost dropping of -3%.
The ‘Soxx’ lost -2.3% in the wake of Intel (-5%), Broadcom (-4.2%), ARM (-2.9%), KLA (-2%)…
Nvidia (+0.85%) escapes the purge with a new record at $860 for a capitalization of $2,150 billion, almost 36 times higher than its 2023 turnover and almost 27 times that anticipated for 2024, this which is stratospheric.
And the more short sellers there are, the higher the stock rises… a phenomenon already observed on Tesla where the ‘shorts’ had chased prices for months, propelling the valuation to levels never before observed for an industrial stock, and even more so automobile.
Tesla has lost -27.5% since January 1 and loses its ‘fantastic’ status.
This day was rich in ‘stats’ in the United States and the latest concerns the anticipated activity indices: the ISM for services returned to 52.6 last month, compared to 53.4 in January, while economists expected around 53 according to the Institute for Supply Management.
The activity sub-index, which measures production, on the other hand improved to 57.2 after 55.8 in January, while that of new orders rose to 56.1 against 55 the previous month.
That of employment, on the other hand, was down, at 48 after 50.5, just like the ISM index of prices paid which fell to 58.6 against 64 in January.
The ‘global S&P PMI’ of the United States private sector (a ‘cousin’ of the ISM) is revised upwards in 2nd reading, to 52.5, instead of 51.4 in flash estimate, and after 52 the preceding month.
American private companies thus experienced their 13th consecutive month of expansion in activity, supported by a recovery in manufacturing production… a trend partly contradicted by a -3.6% drop in industrial production in the month of January in the United States.
Note this new historic record for Gold at $2,140 and which ends at $2,132 around 10 p.m.: an increase which takes place against a backdrop of relaxation in US rates with -8 Points on the ’10 year’ towards 4.14%.
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