Editor’s Picks, Stock News6:37am.2023-12-22
The Dow Jones New York Stock Exchange index closed higher on Thursday (Dec. 21) in response to positive views that the US Gross Domestic Product (GDP) figure that expanded lower than expected in the third quarter of 2023 would be a supporting factor. The Federal Reserve (Fed) has stopped raising interest rates. and begin reducing interest rates next year.
- The Dow Jones Industrial Average closed at 37,404.35 points, an increase of 322.35 points or +0.87%,
- The S&P500 Index closed at 4,746.75 points, up 48.40 points or +1.03% and
- The Nasdaq index closed at 14,963.87 points, up 185.92 points or +1.26%.
The US Department of Commerce released its third estimate of GDP for the third quarter of 2023, stating that US GDP grew 4.9%, lower than analysts’ estimates of 5.1%, while the first and second estimates were at the same level. 4.9% and 5.2% respectively
Peter Tuss, an analyst at Chase Investment Counsel in Virginia, said: The US Commerce Department did not raise its GDP forecast, but it was the second time it had been revised down, giving investors confidence that the economic slowdown will cause the Fed to stop raising interest rates. and started to reduce interest rates
CME Group’s latest FedWatch Tool indicates that investors give 71.3% of their weight in predicting that the Fed will start cutting interest rates by 0.25 percentage points at its March meeting. 2567
Greg Bassak, an analyst at AXS Investments in New York, said: The market recovered after being heavily sold off last Wednesday. It is believed to be the result of investors taking profits after the market rose for several days in a row and from putting options to hedge against risk. Bassak predicts that investors will start to buy stocks. And it is expected that the US stock market will end 2023 strong.
All 11 stocks in the S&P 500 index closed in positive territory, with luxury stocks gaining the strongest.
Semiconductor stocks surge After Micron Technology, a major US chipmaker, revealed higher-than-expected quarterly results. and revealed 2023 revenue forecasts that were higher than analysts’ expectations. Micron Technology shares rose 8.3%, Intel shares rose 2.9%, Advanced Micro Devices (AMD) shares rose 3.3%, and Invidia D shares rose 1.8%
Micron Technology’s strong performance also helped boost the Philadelphia Stock Exchange’s semiconductor stock index. (Philadelphia SE Semiconductor Index) rose 2.8%.
Electric car maker stocks rose, with Tesla up 3%, Lucid up 1.6% and Rivian Automotive up 1.7%. After the Wall Street newspaper The Journal reported that The US government is considering increasing taxes levied on Chinese electric car companies.
For the economic data that was reported last night. The US Department of Labor revealed that Initial claims for unemployment benefits rose 2,000 to 205,000 last week. But this was lower than analysts’ estimates of 215,000.
Investors will be keeping an eye on today’s release of the US Personal Consumption Expenditures (PCE) price index. The PCE index is the Fed’s preferred measure of inflation. Because it can detect changes in consumer behavior and covers the prices of goods and services more broadly than the Consumer Price Index (CPI).
By InfoQuest News Agency (22 Dec. ’23)
Tags: dowjones, Dow Jones, stock market, New York Stock Exchange
2023-12-21 23:46:53
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