NEW YORK (awp international) – Led by significantly weaker technology stocks, US stock markets fell on Thursday ahead of a highly anticipated speech by US Federal Reserve Chairman Jerome Powell. The Dow Jones Industrial closed 0.43 percent lower at 40,712.78 points. The S&P 500 fell across the market 0.89 percent to 5,570.64 points. The tech-heavy Nasdaq 100 fell 1.68 percent to 19,491.84 points.
Market interest is increasingly focused on the meeting of central bankers in Jackson Hole, Wyoming. Investors are hoping Powell’s speech will provide more clarity on the Fed’s monetary policy course. The market is currently assuming that the central bank is close to its first interest rate cut in more than four years.
“Powell is expected to announce rate cuts in his speech, but the pace and level of easing remains uncertain,” wrote economist James McCann of fund manager ABRDN. the labor market, the Fed could specifically try to make a soft landing by easing the restrictive monetary policy stance.
Intel shares, which were already suffering from the general weakness in technology, clearly fell again at the end of trading and ended up 6.1 percent in the red. Previously, the Bloomberg news agency, citing insiders, reported that Lip-Bu Tan, who was appointed to the board of directors of the processor manufacturer two years ago, was leaving the management group.
Paramount Global titles gained 0.8 percent. There is a bidding race for the traditional Hollywood company after media investor Edgar Bronfman also submitted a buyout offer. Paramount had already agreed to be taken over by the Skydance media group, led by film producer David Ellison, in July.
Zoom shares rose about 13 percent. The video conferencing service is not growing as fast due to the corona pandemic, but it is still faster than Wall Street expected.
Urban Outfitters shares fell 9.6 percent. The apparel retailer had posted comparable sales growth in the retail segment in the second quarter that missed analysts’ expectations.
Avalanche shareholders had to accept a loss of 14.7 percent. The software developer could not dismiss concerns about the artificial intelligence industry with his vision.
The euro remained slightly above the $1.11 mark in US trading and last traded at $1.1107. The European Central Bank (ECB) set the reference rate at 1.1135 (Wednesday: 1.1116) dollars. So the dollar cost 0.8980 (0.8996) euros.
US Treasury bonds fell. The futures contract for ten-year government bonds (T-Note Future) lost 0.55 percent to 113.27 points. In turn, the yield rose to 3.87 percent./edh/he
2024-08-22 20:36:26
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