PARIS (Reuters) – The New York Stock Exchange opened higher on Friday after two consecutive sessions of decline linked to worries about inflation and the risk of a recession in the United States, two factors temporarily put aside by investors who particularly welcome a stimulus measure announced in China.
In early trading, the Dow Jones index gained 171.03 points, or 0.55%, to 31,424.16 points and the broader Standard & Poor’s 500 rose 0.77% to 3,930.95 points.
The Nasdaq Composite took 0.91%, or 103.86 points, to 11,492.36.
The S&P-500 and the Nasdaq should, however, post their seventh consecutive weekly loss over the whole week, the longest series in progress since 2001. The Dow Jones is on the way to its eighth week of decline, the most long since 1932.
The People’s Bank of China (PBOC) cut its five-year prime lending rate, which serves as a benchmark for China’s mortgage market, by 15 basis points to 4.45%, as economists expected a decrease. only five to ten points.
In values, Alphabet, Apple, Meta Platforms, Microsoft, Amazon and Tesla take 0.7% to 2.5%. The technology sector index, which suffered on Thursday from the disappointing results of Cisco Systems, regained ground (+1.1%).
On the other hand, the specialist in equipment and materials for the semiconductor sector Applied Materials lost 1% after the announcement of results below expectations for the current quarter. At least seven financial analysts lowered their price target on the stock.
In the banking sector (+1.4%), Citigroup is in the lead with a gain of 1.6%, while in distribution (+0.4%), a compartment penalized in the last two sessions by Walmart and Target , the results and prospects of Foot Locker allow the action of the specialized distributor to jump by 8.8%.
(Written by Claude Chendjou, edited by Kate Entringer)
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