NEW YORK (dpa-AFX) – The US stock markets ended Thursday with price losses. The ongoing uncertainty surrounding the war in Ukraine and disappointing data on sentiment in the US service sector wiped out initial price gains. Despite renewed negotiations between Russia and Ukraine, Russian airstrikes on the neighboring country intensified. This, coupled with Western sanctions against Russia, pushed oil prices to their highest level since 2008 and fueled renewed fears of a recession.
The Dow Jones Industrial closed down 0.29 percent at 33,794.66 points. The market-wide S&P 500 fell by 0.53 percent to 4363.49 points. The technology-heavy selection index Nasdaq 100 fell by 1.46 percent to 14035.21 points.
Sentiment in the US service sector deteriorated significantly in February. The purchasing manager index of the Institute for Supply Management (ISM) fell by 3.4 points to 56.5 points compared to January. Analysts, on the other hand, had expected an improvement to an average of 61.0 points.
Other economic data, on the other hand, were positive. US industrial companies received more orders than expected in January. In addition, the situation on the labor market – measured by the number of weekly initial applications for unemployment benefits – improved more than forecast. Furthermore, the productivity of the US economy recovered significantly in the final quarter of 2021 from the decline in the summer months.
On the company side, there were a few quarterly reports that caused larger price movements. The latest annual figures and the medium-term outlook of the electronics retailer Best Buy were very well received by investors. Shares rose 9.2 percent.
Kroger’s shares ultimately rose 11.6 percent after the supermarket chain posted better-than-expected earnings last year. In addition, the company’s targets for the new financial year exceeded market forecasts.
The euro has meanwhile fallen to 1.1033 US dollars in US trading, its lowest level since May 2020. The common currency was last traded at 1.1065 dollars. The European Central Bank had set the reference rate at 1.1076 (Wednesday: 1.1106) dollars. The dollar had thus cost 0.9029 (0.9004) euros.
US Treasury bonds posted modest gains. The futures contract for ten-year Treasuries (T-Note Future) recently rose by 0.16 percent to 127.52 points. The yield on 10-year government bonds fell to 1.85 percent./edh/he
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