(CercleFinance.com) – The New York Stock Exchange moved in a mixed order on Monday with the S&P 500 and Nasdaq up slightly, but the Dow Jones in sharp decline, penalized by the fall of Boeing and the decline in oil stocks.
At the end of the morning, the Dow Jones fell by 0.1% to 37,422.4 points, while the Nasdaq Composite rebounded by 1.2% to 14,699.6 points, just like the S&P 500 which gained more than 0, 5%.
Boeing stock, one of the main weightings of the Dow, weighs heavily on the trend by dropping more than 8% following an incident which resulted in the tearing of a door in flight from a 737 MAX-9 belonging to Alaska Airlines.
In a research note, Bank of America analysts say they are concerned about the accumulation of problems surrounding the aircraft, which they believe could end up harming the aircraft manufacturer’s reputation.
‘We consider it worrying that the incident occurred on a device that was delivered on October 31,’ explains the design office.
‘If the disappointments continue to follow one another, passengers could ultimately lose their confidence in the 737 MAX, which would ultimately penalize sales,’ adds BofA.
The drop in oil prices, after their sharp rise last week in a context of geopolitical tensions, is weighing on oil stocks.
On the NYMEX, American light crude (West Texas Intermediate, WTI) lost 4% to fall below the $71 mark.
‘We observe daily changes of close to 2-3%’, underline the teams at DeftHedge, a specialist in foreign exchange and commodity risk management.
‘It’s huge and unusual,’ explain its analysts, who point to an upward trend in the short term.
The oil majors fell accordingly, starting with ExxonMobil (-2.8%) and Chevron (-1.7%), the latter not benefiting from Jefferies’ recommendation increase.
On the rise, the recovery of semiconductor manufacturers like Nvidia (+4.4%), AMD (+3.9%) or Intel (+2.9%), supported by bargain hunting, supports the S&P like the Nasdaq.
On the bond market, the yield on the American ten-year interrupts its upward momentum of last week and falls back below the 4% mark in the perspective of a decline in inflation on Thursday on the occasion of the publication of the index consumer prices (CPI), scheduled for Thursday.
Copyright (c) 2024 CercleFinance.com. All rights reserved.