PARIS, Oct 5 (Reuters) – The New York Stock Exchange fell sharply at the start of trading on Wednesday, as rising interest rates and recession risks regained the upper hand across markets after a weak start to the week. marked increase in appetite for risk.
A few minutes after the start of trading, the Dow Jones index lost 216.18 points, or 0.71%, to 30,100.14, the Standard & Poor’s 500 fell 0.81% to 3,760.32 and the Nasdaq Composite gave up 1.05% to 11,059.06.
The S&P 500 rallied 5.7% over the past two sessions as bond yields fell on economic indicators suggesting an improvement in inflation and the bank’s lower-than-expected rate hike Central Australia.
But market sentiment is deteriorating again after a half-point hike in New Zealand’s key rate and a better-than-expected US private sector job creation figure rekindled fears over the US Federal Reserve. .
On the bond market, the yield on two-year Treasury bills thus rose by five basis points to 4.1502% and the ten-year by ten points to 3.7128%.
Investors expect at 2:00 p.m. GMT the ISM service sector activity index in the United States, which should reflect a slowdown in growth. As for the first estimate of the US trade deficit in September, it confirmed the downward trend in imports.
Among the major American growth stocks sensitive to changes in rate expectations, Nvidia lost 1.69%, Amazon 1.09%, Apple 1.11% and Alphabet 1.49%.
Banks Citigroup and JPMorgan dropped 2.32% and 1.61% respectively.
Tesla also sells 2.16%, analysts pointing out the risk of seeing Elon Musk, the group’s managing director, forced to sell securities to finance the takeover of Twitter (-2.29%), which he confirmed on Tuesday .