In-article:

Wall Street: Weekend and month at half mast


(CercleFinance.com) – Weighed down by mixed economic indicators, the New York Stock Exchange ended a turbulent course at half mast this week: this Friday, the Dow Jones dropped 1.7% to 28,725 points, while the Nasdaq Composite dropped 1.3% to 10,575 points.

At the end of the week, the Dow Jones fell 2.9%, while the Nasdaq Composite lost 2.7%, and for September as a whole, the two indices had their worst months since March 2020 and March 2020 respectively. april.

While US household spending rose more than expected in August, with an increase of 0.4% according to the latest data from the Commerce Department, this could not offset the announcement of a reacceleration in the inflation.

In fact, the so-called ‘PCE’ consumer price index, excluding food and energy prices, increased by 4.9% at an annual rate in August, against a rise of 4.7% in July, an increase far above expectations.

This statistic, closely followed by the Federal Reserve, reinforced the scenario of continued monetary tightening by the American central bank, which is very offensive in its fight against rising prices.

‘This morning, Fed Vice Chair Lael Brainard reiterated the central bank’s commitment to curbing inflation, but acknowledged the need to monitor the impact of rising rates on the economy’ , noted Wells Fargo on Friday evening.

Other data from the session, the American consumer confidence index, calculated by the University of Michigan, finally came out at 58.6 in September, a level lower than the first estimate (59.5), but still higher than the level of August (58.2).

In terms of values, Nike fell 12.8% the day after disappointing quarterly results: the sporting goods manufacturer’s margins were reduced due to logistics costs, the strength of the dollar and promotional operations. .

Micron, on the other hand, floated with a gain of 0.2%, the group of semiconductors having announced a better than expected profit for its past quarter, which compensated for a forecast for the current quarter less well received.

Copyright (c) 2022 CercleFinance.com. All rights reserved.



Source link -84