ROUNDUP / New York Equities Outlook: Directionless and little agitated after record rally | 02/09/21

NEW YORK (dpa-AFX) – Without a clear direction and big jumps, the US stock markets presented themselves in early trading on Tuesday. According to stockbrokers, investors are unsure whether the pledges by the US Federal Reserve and the Biden administration to overheat the economy could trigger destabilizing inflation. The day before, the leading indices had marked further highs and, with the sixth trading day in a row, recorded the longest profit streak since August 2020.

The Dow Jones Industrial (Dow Jones 30 Industrial) fell 0.24 percent to 31,309.15 points. The market-wide S&P 500 lost 0.12 percent to 3910.81 points. The technology-heavy NASDAQ 100, however, rose by 0.21 percent to 13,724.18 points.

The meanwhile quite high valuations of many stocks made investors pause while they cheered the better economic outlook as well as the global slowdown in corona infections and the advancing vaccination efforts, it said from the trade. The inflation expectations, which are approaching the highest level since 2013, also raise the question of when this will become a threat to stocks.

Economic data are nil on Tuesday. The network specialist Cisco, the short message service Twitter and the travel agent Lyft submit quarterly reports, but all only after the market closes.

However, the quarterly figures from DuPont (DuPont de Nemours) have already been published. The corona pandemic tore the US specialty chemicals company deep into the red last year. For 2020, a loss of almost 3 billion dollars was on the books, after DuPont had made around half a billion profit in the previous year. However, a profit jumped out in the final quarter. The DuPont shares recently lost 2.2 percent.

Constellation Brands’ paper (Constellation Brands A) rose 2.5 percent to $ 234.37. The analysts at Goldman Sachs had included the stocks of the beer and spirits group in the “Conviction Buy List” of particularly promising investments and raised the target price from 255 to 275 dollars.

On the other hand, a possible deal between the genetic diagnostics specialists Quidel and QIAGEN met with a different response. While Qiagen shares in New York fell 2.1 percent, Quidel shares rose 3.1 percent. The day before, when speculation first circulated, the price trend had been exactly the opposite. Commerzbank said that if the two companies were to merge, their dependency on sales in connection with Covid-19 would be quite high. This holds “challenges” with a view to 2022./edh/he

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