The Dow Jones New York Stock Exchange Index closed negative on Friday (Jan. 12), while the S&P 500 Index and Nasdaq Index closed slightly positive after volatile trading. Banks’ tepid earnings releases overshadowed positives from lower-than-expected inflation data, which supported expectations that The US Federal Reserve (Fed) will lower interest rates.
The Dow Jones Industrial Average closed at 37,592.98 points, down 118.04 points or -0.31%, the S&P 500 index closed at 4,783.83 points, up 3.59 points or +0.08%, and the Nasdaq index closed at 14,972.76 points, up 2.58 points or +0.02%.
In this week The Dow added 0.34%, the S&P 500 rose 1.84% and the Nasdaq rose 3.09%, with the S&P 500 posting its biggest weekly gain since mid-December. And the Nasdaq index posted its biggest weekly gain since the beginning of November.
The Labor Department released its PPI index, which measures inflation in producer spending, for December on Friday. The headline PPI, which includes food and energy, rose 1.0% in December. . compared yearly This was lower than analysts’ expectations of 1.3% from 0.8% in November. On a monthly basis, the headline PPI fell 0.1% in December, while analysts expected it to rise 0.1%. After falling 0.1% in November.
The Core PPI index, which does not include food and energy, increased 1.8% in December year-on-year. This was lower than analysts’ expectations of 1.9% from 2.0% in November. On a month-to-month basis, the core PPI index was unchanged in December. While analysts expect it may increase 0.2% from 0.0% in November.
Such data has caused US bond yields to fall, and the latest CME Group’s FedWatch Tool indicates that investors are 79.5% favoring the Fed to cut interest rates by 0.25% to 5.00-5.25% at its meeting on 19-20. March 20, after giving it a weight of 73.2% on Thursday (Jan. 11).
The S&P Banking Index closed down 1.26% after falling as much as 1.7%.
Bank of America shares fell 1.06% after revealing Q4 2023 profits contracted, while Wells Fargo shares fell 3.34% after warning that net interest income would drop 7-9% this year.
But Citigroup shares rose 1.04% after reporting a loss of $1.8 billion in the fourth quarter and expecting further job cuts.
JPMorgan Chase fell 0.73% despite reporting record annual profit and expecting higher-than-expected interest income this year.
United Health shares fell 3.37% after the company reported larger-than-expected increases in medical costs. which weighed down the Dow Jones Index significantly
Delta Air Lines shares fell 8.97% after downgrading its annual profit outlook.
Tesla shares fell 3.67% after lowering prices of some new electric car models in China. and plans to suspend production of most cars at its plant near Berlin.
2024-01-12 23:32:04
#York #Stock #Market #Situation #Dow #Jones #closed #points #Investors #disappointed #results
