Monday , July 26 2021

Wall Street is hesitant, between trade, oil and semiconductors

The New York Stock Exchange ended on an irregular Friday, faltering amid renewed optimism in trade, stabilizing oil prices and a weak semiconductor industry.

Wall Street's main index, the Dow Jones Industrial Average, rose 0.49% to end at 25,413.22 points.

The Nasdaq index, with strong technology colors, gave up 0.15% to end at 7,247.87 points.

The S & P 500 index rose 0.22% to close at 2,736.27 points.

The New York market started in red, weakening by disappointing estimates from the group supplying Nvidia semiconductors (-18.76%) and Applied Materials (+ 1.09%).

This forecast will likely launch questions about the possibility of slowing growth. And the market "questions the prospect of profit growth (companies) and willingness to pay dearly for profits that are now less insured," said Patrick O & Hare.

Doubts about the company's ability to generate greater profits, especially in the technology sector, have a significant impact on rankings several times.

During the week, the Dow Jones fell 2.2%, Nasdaq 2.1% and S & P 500 1.6%.

After some changes in early trade on Friday, however, the index rose sharply after comments by the US president ensured that China wanted to conclude a trade agreement.

Investors are very sensitive to all the headlines about the trade war that Washington and Beijing have been doing for several months, especially days before the G20 summit where leaders from both countries will meet.

Some analysts believe that if the agreement is sealed, it will allow the New York Stock Exchange to start blatantly after several complicated weeks.

But the rebound has been short-lived, with hints grumbling again when the CNBC financial chain quoted White House sources claiming that no agreement would be imminent and that Donald Trump only expressed his optimism about the subject.

– Facebook is entangled in controversy –

For Christopher Low of FTN Financial, Wall Street was also helped by the fact that oil prices did not increase their losses on Friday. After six weeks of setbacks, "we may have reached the floor," he said.

The index representing energy companies in the S & P 500 took 1.10%.

Among other values ​​of the day, Facebook has lost 3.00% because the group was caught up in a new controversy triggered by a New York Times investigation that accused the world's first social network of organizing a dirty campaign against him. detractor.

Energy supplier Pacific Gas and Electric Company (PG & E) rebounded 37.54%. The action has dropped dramatically in the last few sessions because its responsibility for the fire that destroyed the city of Paradise in California has occurred.

But the chairman of the commission in charge of public services in California had in an interview with Bloomberg assured that he did not imagine that this key actor could go bankrupt, knowing that he might be asked to ask for compensation was very important.

Viacom media group, owner of MTV, Comedy Central and Nickelodeon, rose 2.49% after posting better-than-expected quarterly and annual results.

On the other hand, the results of Nordstrom's shop chains (-13.66%) and William-Sonoma (-11.23%) were received recently.

On the bond market, the 10-year debt rate fell to 9.30 GMT to 3.069%, against 3.10% late Thursday, and 30 years to 3.322%, against 3.399% at the previous closing.


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