The Dow, on the other hand, was down 0.23 percent at 27,866.14 points two hours to go. It remained in its narrow sideways range of the past trading days. The market-wide S&P 500 made it meanwhile with 0.36 percent in the plus to 3385.07 points. In contrast to the Dow, he too can flirt with a new record. In the lead he was not even missing a whole point.
While technology stocks are swimming on their own wave of success, the Dow and the defaults it has mapped lacked the necessary price drivers for a further rise. Current economic data had a rather slowing effect: In the USA, the mood in New York’s industrial companies in August was worse than analysts expected.
The tensions between the United States and China are another headache for investors, as President Donald Trump increased the time pressure on the Chinese parent company of the video app Tiktok to sell its US activities. The hangover in Congress in the negotiations on a new aid package continues. According to traders, every day the likelihood of an agreement being reached before September decreases.
On the corporate side, it was quieter on Monday at the end of the reporting season. Among the technology stocks, Tesla became a symbol of the record rally. The papers of the electric car manufacturer advanced as the favorite in the Nasdaq 100 index by eight percent and approached the 1,800 dollar mark for the first time. According to traders, they will continue to receive tailwind from the fact that they will soon be split – in order to become more interesting again for small investors at their high level.
In the Dow, however, weak financials and losses at Boeing slowed the momentum. Out of the overall under pressure financial sector, shares of Goldman Sachs and JPMorgan in the Dow fell by up to 2.7 percent. According to traders, major banking stocks suffered as investment legend Warren Buffett’s investment company Berkshire Hathaway reduced its stakes in many of the top names in the industry.
On the other hand, the shares of the Tübingen biotech company Curevac, which is working on the long-awaited corona vaccine, continued to make positive headlines. After the rocket-like initial listing on Friday, they shot up another 30 percent. The company’s chief financial officer promised his investors in the “Financial Times” that they should benefit from a possible vaccine with a return.
In addition, some small caps moved due to takeover fantasies. At Principia Biopharma, investors could look forward to a price increase of nine percent. The French pharmaceutical company Sanofi wants to strengthen its business with drugs against autoimmune diseases and allergies with the US company, it is offering 100 dollars per share in cash. The share was last traded just below this price.
Meanwhile, Rackspace Technology also picked up. After a flopped return to the stock exchange a few weeks ago, the shares of the cloud specialist suddenly advanced by 13 percent. In doing so, they benefited from the fact that, according to circles, the online retail giant Amazon wants to get in with a minority stake./tih/he
(AWP)
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