New York equities: weak data from China weighs slightly on the Dow | 10/18/21

NEW YORK (awp international) – Surprisingly slow economic growth in China took the wind out of the sails of Wall Street’s recovery rally on Monday. On top of this, there were ongoing inflation worries in the wake of rising oil prices.

The Dow Jones Industrial fell 0.34 percent to 35,176.50 points. In the past week, the leading index had achieved a weekly plus of 1.6 percent.

While good business figures from the major US banks had lifted the mood last week, mixed signals have now come from Asia, said analyst Neil Wilson from the trading house Markets.com.

The upswing in the Chinese economy lost much of its momentum in the third quarter: the world’s second largest economy grew by just 4.9 percent year-on-year and thus slightly less than experts expected on average. At the same time, rising prices for oil and energy are fueling investors’ concerns about inflation. They fear a sustained, significant rise in inflation rates, which could become a burden on the global economy.

However, the investors had already accessed the previous week after an intermittent price slide. The Dow had recovered by three and a half percent within three trading days, which stockbrokers see as a sign of strength. Even the record high of 35,631 points is within reach again.

The S&P 500 traded a little lower on Monday at 4467.51 points. For the technology-heavy Nasdaq 100, however, it rose 0.10 percent to 15,161.53 points.

With oil prices soaring, Chevron’s shares rose 0.3 percent and ExxonMobil’s shares rose 0.6 percent. Oil prices continued their soaring with a jump to multi-year highs.

The price for US oil has been rising for eight weeks now, driven by investors’ concerns about insufficient supply before the winter months. In addition, leading industrial countries are recovering from the economic slump in the Corona crisis, which is also causing the price to rise.

Meanwhile, Walt Disney’s papers lost nearly three percent at the Dow end. Barclays Bank analyst Kannan Venkateshwar worried about the growth of the Disney + streaming business in a study.

Among the technology stocks, Tesla’s shares expanded their latest winning streak and rose a good two percent. They have already risen more than half in value since their May low. It was only recently that the electric car manufacturer’s surprisingly strong delivery figures gave the course a fresh impetus./la/men

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