(Corrected typo in second sentence of sixth paragraph: JD.com)
NEW YORK (awp international) – The US stock exchanges have recovered somewhat after the setback they suffered at the end of last week. Positive impetus came from China on Monday: The relaxed Covid-19 restrictions in the metropolises of Shanghai and Beijing fueled hopes that the global economy would recover soon. Nevertheless, these expectations also fueled the latest concerns about inflation and interest rate increases, so that the initially significant premiums in the course of trading melted noticeably.
The leading index Dow Jones Industrial had meanwhile completely lost initial gains of around 1 percent and closed 0.05 percent higher at 32,915.78 points. The market-wide S&P 500 went up 0.31 percent to 4121.43 points. The tech-heavy Nasdaq 100 rose 0.41 percent to 12,599.63 points.
Meanwhile, the takeover of Twitter remains in limbo. Elon Musk has now accused the group of breaching the conditions for the billion-dollar takeover of the short message service.
In an open letter from Musk’s lawyers, it was said that Twitter refused to release data requested by the Tesla founder about spam and fake user accounts on the platform. According to the terms of the takeover deal, however, Twitter is obliged to provide data and information that Musk requests in relation to the transaction. Contrary to what is shown by Twitter, this obligation to provide information does not only apply to very limited purposes. According to the information, Musk also reserves the right to call off the takeover project. However, investors have long doubted that the deal will go through. Twitter shares ended up down 1.5 percent.
U.S.-traded shares of Chinese ridesharing company Didi soared nearly a quarter after a press report about possible lifting of business restrictions in China. As the Wall Street Journal reported, Chinese supervisors could complete the review of Didi and end the ban on adding new users. The ban has been in place since investigations into data security and national security began last July and led to a massive forfeiture of papers.
Shares in Chinese tech companies listed in New York also benefited overall from hopes of less strict regulation in their home country. For example, Pinduoduo topped the Nasdaq 100 with gains of 5.6 and 6.5 percent, respectively. Investors on the Alibaba trading platform were pleased with an increase of a good 6 percent.
Amazon’s shares rose by around two percent. In the case of the papers of the online trading group, the decided share split at a ratio of 20:1 came into force. This means that one share has now turned into twenty and the price looks lower as a result.
The euro closed at $1.0696 on Wall Street. The European Central Bank had set the reference rate at 1.0726 (Friday: 1.0730) dollars. The dollar thus cost 0.9323 (0.9320) euros.
US government bonds suffered from the sustained rise in interest rates. The futures contract for ten-year Treasuries (T-Note Future) recently lost 0.51 percent to 118.44 points. The yield on ten-year government bonds rose to 3.04 percent./la/he
— By Lutz Alexander, dpa-AFX —
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