Home » News » Dow Jones Industrial Gains on Chinese Stimulus Measures Despite Recession Fears

Dow Jones Industrial Gains on Chinese Stimulus Measures Despite Recession Fears

NEW YORK (dpa-AFX) – On Tuesday, the Dow Jones Industrial continued the gains it made at the beginning of the week. Stockbrokers referred to the recent Chinese stimulus measures as a support factor. However, the mood is dampened by recession fears and warnings of rising US interest rates that will remain high for a long time, according to the market.

The leading US index gained 0.63 percent to 34,159.42 points. The market-wide S&P 500 went up 0.27 percent to 4421.56 points. The technology-heavy Nasdaq 100, on the other hand, barely moved at 15,048.18 points.

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The day before it had become known that China wants to give the country’s ailing real estate market more support. Specifically, it is about the deferral of real estate loans. This should make it possible to complete real estate projects under construction. In addition, there could be further support measures, noted Deutsche Bank’s market strategists in view of corresponding media reports.

However, comments from US Federal Reserve officials stressing the need for further tightening of monetary policy this year are a source of stress. This fuels fears that the world’s largest economy could slide into recession. “US stock markets have priced in a soft landing or a more benign recession, but the real risk is that the recession will be worse than expected,” said manager Cecilia Chan of wealth manager HSBC Asset Management.

Salesforce shares came in second on the Dow, up 3.1 percent. The SAP competitor increases its list prices by an average of nine percent.

The shares of 3M, which rose by four percent, were ahead in the leading US index. They benefited from a positive analyst comment from Bank of America. Expert Andrew Obin wrote that the merits of the conglomerate’s restructuring plans were underestimated.

US Bancorp’s shares rose by almost four percent and were among the best values ​​in the S&P 500. Here, too, an analyst comment from Bank of America proved to be the driving force. The expert Ebrahim Poonawala described the financial institution as one of the highest quality companies in the US banking sector.

At the top of the S&P 500, Activision Blizzard’s shares rose by a good eleven percent. Microsoft is a big step closer to acquiring the video game giant. A San Francisco judge denied the US government’s request to block the deal with an injunction. Microsoft is now thinking about new concessions to the British competition authority CMA. The papers of the software group gave way slightly.

Among small caps, shares of Iovance Biotherapeutics fell more than 10 percent after the biotech announced a capital increase. Iovance plans to publicly offer $150 million worth of its own stock.

Better Therapeutics shares, on the other hand, jumped a good 14 percent to $1.03. The provider of a digital platform for prescription therapeutics for the treatment of cardiometabolic diseases announced that the US Food and Drug Administration (FDA) has approved AspyreRx for the treatment of type 2 diabetes./la/he

2023-07-11 17:59:28
#Equities #York #China #stimulus #measures #support #Dow

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