PARIS, Jan 31 (Reuters) – The New York Stock Exchange opened in dispersed order on Monday for the last session of the month, amid risk aversion due to uncertainties over the US Federal Reserve’s monetary policy.
In early trading, the Dow Jones index lost 141.43 points, or 0.41%, to 34,584.04 points. The Standard & Poor’s 500, wider, however rose 0.11% to 4,436.85 points.
The Nasdaq Composite climbs 0.93%, or 127.58 points, to 13,898.162, but is down 12% since Jan. 1, which would mark its worst start to a year if the trend continues at the close. .
On the upside, Tesla (+4.6%) and Netflix (+6.7%) provide support to the flagship index of technology stocks thanks to the recommendation upgrades of Credit Suisse and Citigroup respectively on the two stocks.
Digital heavyweights have suffered in recent sessions on fears of an acceleration in monetary policy tightening from the Fed, which remained vague about its intentions following its monetary policy committee meeting last week. last.
Markets expect the central bank to raise the cost of credit at least five times this year, with the first increase in March. Bank of America is now counting on seven rate hikes.
Risk aversion is also linked to geopolitical tensions in Eastern Europe, notably the fear of a Russian invasion of Ukraine.
The latest survey from the American Association of Individual Investors Sentiment Survey shows that the number of investors expecting equity markets to fall within six months has hit a nine-year high.
The S&P-500 index, for its part, is down 7% since the start of the year and is heading for its worst monthly performance since March 2020.
In individual stocks, the IT specialist Citrix Systems fell nearly 4% after the announcement of its takeover by the Elliott Management fund and the investment company Vista Equity Partners for 16.5 billion dollars (14, 75 billion euros), debt included.
Kellogg drops nearly 2% following recommendation downgrade, while airlines American Airlines Group, Southwest Airlines, United Airlines, Delta Air Lines shed about 1% after almost 1,400 flights were canceled on Sunday due to of a storm that hit the East Coast of the United States.
(Written by Claude Chendjou, edited by Blandine Hénault)