The Dow Jones Industrial (Dow Jones 30 Industrial) set a new record on Wednesday, in contrast to its New York index counterparts. The Wall’s course barometer …
NEW YORK (dpa-AFX) – The Dow Jones Industrial (Dow Jones 30 Industrial) set a new record on Wednesday in contrast to its New York index colleagues. The Wall Street price barometer became the winner after a weak start and achieved a record high of 31,643 points. Ultimately, he went out of trade just below this. The closing level of 31,613.02 points meant an increase of 0.29 percent.
The leading index was helped by the fact that star investor Warren Buffett switched a bit from Apple shares to standard stocks. Conversely, this dampened investor interest in technology stocks. The NASDAQ 100 selection index, which is shaped by them, fell by 0.54 percent to 13,699.71 points. The market-wide S&P 500 closed 0.03 percent lower at 3931.33 meters. In contrast to the Dow, both indices were unable to continue their record rally.
Fear of inflation and the resulting rise in capital market rates remained a central issue on Wednesday. Along with price expectations, the yields on US bonds have recently risen, which tends to make them more attractive again compared to equities. According to traders, it was a good thing for stocks that the Federal Reserve’s minutes of the meeting did not contain any indication of an imminent change in lax monetary policy.
Two new stocks that investor legend Warren Buffett has selected through his Berkshire Hathaway investment vehicle are Chevron and Verizon. Driven by this honor, they advanced by three percent in the case of the oil company and by as much as 5.2 percent in the case of the telecommunications provider. They were both at the top of the Dow.
Instead, Berkshire has reduced its exposure to Apple. The papers of the iPhone manufacturer then lost 1.8 percent as the bottom of the index and thus indicated the negative direction in the tech industry. The sub-index for IT companies fell negatively in the market-wide S&P 500 with a discount of more than one percent.
Wells Fargo (Wells FargoCo) was also a topic of conversation with a price jump of 5.2 percent. The market said the financial institution was making progress in talks with the US Federal Reserve about imposed restrictions. The penalty imposed for bogus accounts with a capped balance sheet total dates back to 2017.
Otherwise, quarterly figures and outlooks for some companies from the second row received attention. The car rental company Avis Budget (Avis Budget Group) surprised positively with its quarterly sales, but the shares fell by 6.3 percent. According to stockbrokers, this was due to the fact that the company does not trust itself to look to the future during the corona crisis.
Insurer AIG (American International Group (AIG)) reported a declining adjusted surplus in the past quarter, which started stocks in the red. But investors then took it, they ultimately made it up with 2.7 percent. It was also announced that AIG had received inquiries from interested parties to participate in the life and retirement insurance business.
In the generally weaker technology sector, there were also positive sector exceptions such as the 1.7 percent higher paper from Agilent (Agilent Technologies). The company specializing in measurement technology impressed with a strong outlook. Bank of America reacted promptly and now recommends buying the stock.
The euro temporarily fell towards the US $ 1.20 mark. Most recently, however, the common currency cost $ 1.2042 again. The European Central Bank (ECB) set the reference rate at 1.2060 (Tuesday: 1.2143) dollars. The dollar cost 0.8292 (0.8235) euros.
The prices of US Treasuries stabilized after their recent slide, which was accompanied by rising yields. The futures contract for ten-year Treasuries (T-Note-Future) recently gained 0.14 percent to 135.84 points. Their return was now 1.29 percent./tih/he
— By Timo Hausdorf, dpa-AFX —
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