© Reuters.
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Investing.com – US equities were hit in a severe downturn on Thursday following the release of jobless claims and gross domestic product data.
The number of jobless claims has decreased, which increases the likelihood that the Federal Reserve will continue to raise interest rates to fight inflation without worrying about damaging the labor market.
GDP is expected to return to growth in the third quarter, expanding at a modest annual rate of 1.5%, with the preliminary reading for the third quarter to be released on October 27th.
These indicators give the US Federal Reserve more confidence to move forward on the tightening path and reinforce expectations that interest rates will continue to be raised by the Federal Reserve.
Atlanta Fed President Rafael Bostik has called for an additional 125 basis points to raise interest rates in the 4.25-4.5% range by the end of this year in order to make headway on inflation.
stock up now
Tech stocks fell by more than 3.1%, or 350 points, to 10,700 points.
The broader Standard & Poor’s 500 index fell 2.5%, or 90 points, to 3,625 points.
It decreased in the range of 2.1%, or the equivalent of 580 points, to levels of 29080.
gold now
The prices of the yellow metal in futures contracts have fallen by about $ 9 an ounce, or 0.6%, to levels close to $ 1,660 an ounce.
And the US dollar fell in the $ 8 per ounce, or 0.5% range, to $ 1650 per ounce levels during these trading times today, Thursday.
dollar now
On the other hand, the American tends to reduce its morning gains, approaching 112.7 points, up 0.1%, down from levels above 113.5 points in early trading.
This coincides with the pound’s rise against the dollar after the Bank of England announced yesterday, Wednesday, its intention to suspend gold purchases and begin implementing the bond purchase program, to now increase by around the year. 0.65%.
The 10-year stocks, on the other hand, are still rising after falling yesterday, being in these moments hovering near the 3.808 levels after breaking through the 4% level, the highest since 2008.
oil now
On the other hand, it is dropping less than 1% after rising earlier in trading, with strong news coming in on an early OPEC + meeting on discussing a large cut in output in light of falling prices.
US light crude NYMEX has now fallen within 1.1% to $ 81 levels.
By the same token, the record fell in these trading moments today, Thursday, to levels close to $ 87 a barrel, with a drop in the range of $ 0.9 a barrel.
storm data
The data revealed that the US economy contracted 0.6% during the second quarter of this year, in line with the previous estimate, amid expectations of a further expansion of the US economy during the third quarter.
The number of applications for US unemployment benefits fell by 16,000 to 193,000 in the week ending September 24.
The average number of applications for unemployment benefits in the last four weeks decreased by 8,750,000 compared to the average of the previous week, revised down by one thousand applications to 215.75 thousand to reach 207 thousand.
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