Apple 0.7%, Nvidia 0.5%, Broadcom 0.4%, Tesla 1.2%,
Netflix fell 0.6%, AMD 3.2%, and ARM fell 0.5%. In comparison, Microsoft fell 1.8%,
Amazon.com rose 0.4%, Meta 0.6%, and Google’s Alphabet rose 0.3%.
[소셜밸류=김완묵 기자] The U.S. New York stock market is in a correction phase as U.S. Treasury yields continue to soar this week. It is assessed that concerns about the possibility of prolonged high interest rates have dampened the vitality of the corporate earnings announcement season.
As of 11:55 a.m. on the New York Stock Exchange (NYSE) on the 22nd (local time), the Dow Jones Industrial Average is recording 42,857, down 74 points (0.17%) from the previous level.
The Standard & Poor’s (S&P) 500 index is at 5,841, down 12 points (0.22%) from the previous level, and the Nasdaq Composite Index, centered on technology stocks, is at 18,526, down 13 points (0.07%) from the previous level. The Philadelphia Semiconductor Index is at 5,171, down 43 points (0.83%) from the previous day.
Major stocks include Apple down 0.7%, Nvidia down 0.5%, Broadcom down 0.4%, Tesla down 1.2%, Netflix down 0.6%, AMD down 3.2%, and ARM down 0.5%. In comparison, Microsoft is rising 1.8%, Amazon.com is rising 0.4%, Meta is rising 0.6%, and Google’s Alphabet is rising 0.3%.
U.S. Treasury yields are rising today as well. As of 11:39 a.m. local time, the 10-year note is showing 4.208%, up 0.026 percentage points (2.6 bp) from the previous day, and the 2-year note is showing 4.045%, up 0.020 percentage point (2.0 bp) from the previous day.
Prior to this, as of 10:30 a.m. local time, the Dow Jones Industrial Average was recording 42,749.23, down 182.37 points (0.42%) from the previous level. The Standard & Poor’s (S&P) 500 index was at 5,834.20, down 19.78 points (0.34%) from the battlefield, and the Nasdaq Composite Index, centered on technology stocks, was at 18,533.84, down 6.16 points (0.03%) from the battlefield.
According to foreign media and Yonhap News, the New York stock market is taking a break from its six-week consecutive upward rally as U.S. Treasury yields soar and the possibility of the Federal Reserve System (Fed) slowing down the pace of interest rate cuts is raised.
On this day, corporate performance announcements continued. General Motors (GM), one of the top three U.S. automobile companies, soared its stock price by more than 7% thanks to solid performance that easily exceeded market expectations.
GE Aerospace, which was created through a spin-off of General Electric (GE), a symbol of the American manufacturing industry, posted performance that exceeded market expectations and raised its annual guidance, but its stock price plummeted nearly 9%. This was interpreted as because investor expectations regarding performance were too high.
Verizon, a large telecommunications company, exceeded market expectations in sales and earnings per share (EPS), but its equipment sales performance fell short of expectations, causing its stock price to fall by more than 4%. Newco, the largest steel company in the U.S., saw its stock price fall by more than 7% following its performance report showing a decrease in both sales and EPS compared to the same period last year.
Solar technology company First Solar’s stock price rose by more than 3% thanks to Citigroup’s assessment that it was a ‘stock that can benefit regardless of the outcome of the presidential election’ and its investment opinion upgraded to ‘buy’.
Economic media CNBC said, “After the Federal Reserve implemented a big cut (50bps cut) in interest rates last month, the actual interest rate rose again.” This may be due to improved economic indicators, but on the other hand, the Federal Reserve is not aggressive in lowering interest rates. “It’s because of the pessimism that it won’t happen,” he analyzed.
Minneapolis Federal Reserve Bank President Neel Kashkari and Dallas Federal Reserve President Rory Logan, who spoke the previous day, predicted that the Federal Reserve would show ‘moderate’ or ‘gradual’ monetary easing for the time being.
According to the FedWatch tool of the Chicago Derivatives Exchange Group (CME Group), the probability that the Federal Reserve will cut the benchmark interest rate by 25bp (1bp = 0.01%) in November is 91.0%, and the probability of freezing it is 9.0%.
The possibility of a 25bp cut increased by 4.5% points compared to the previous day.
International oil prices showed an upward trend. The price of West Texas Intermediate (WTI) crude oil for November delivery is trading at $71.51 per barrel, up 1.35% from the previous period, and the price of Brent crude oil for December delivery is trading at $75.04 per barrel, 1.01% higher than the previous period.
[저작권자ⓒ 사회가치 공유 언론-소셜밸류. 무단전재-재배포 금지]
