Wall Street closed this Tuesday in green and the Dow Jones Industrials, its main indicator, gained 1.06% in a day marked by the rebound of banks after the panic caused by the collapse of Silicon Valley Bank (SVB) and after the publication US inflation figures in line with expectations.
At the close of operations, the Dow Jones added 336.26 points, up to 32,155.40 units, and ended five consecutive sessions of setbacks.
Meanwhile, the selective S&P 500 gained 1.68% or 64.80 integers, up to 3,920.56 points, and the Nasdaq market composite index, in which the main technology companies are listed, progressed 2.14% or 239.31 units, up to 11,428.15 integers.
After the scare of the last few days, the financial sector finished the day with a gain of 2.19% and several US regional banks that had collapsed in recent days recovered part of those losses thanks to very pronounced increases from the beginning, although they lost some steam in the final bars of the session.
First Republic Bank, whose shares had dropped more than 50% of their value on Monday, ended Tuesday up 27%, but had risen much higher during the day, while PacWest gained almost 34%.
Other banks hit by the SVB panic also ended up with more limited gains, while big US banks posted solid gains: JPMorgan Chase gained 2.57%, Bank of America 0.88%, Wells Fargo 4.58% and Citigroup 5.95%.
In this way, the markets seemed to contain the risks that the fall of the SVB and the subsequent one of Signature Bank could drag down the rest of the sector, and this despite the fact that the rating agency Moody’s lowered the outlook for the US banking system to negative.
But banking was not the only sector that had a good day, as the increases were widespread on Wall Street and all its sectors ended in the green, with clear increases for communications companies (2.75%) and technology companies (2. 29%).
The markets responded positively to the news that the year-on-year inflation rate in the United States continued to fall in February, for the eighth consecutive month, and stood at 6%, four tenths below that of January.
Although in monthly terms consumer prices rose four tenths, the figures were in line with what was predicted by analysts and provided some peace of mind to the market, which is very aware of these indicators to try to anticipate the next movements of the Federal Reserve (Fed). with interest rates.
Among the 30 Dow Jones stocks, gains were led by Salesforce (4.20%), American Express (3.98%) and Intel (3.93%), while the biggest losses were Amgen (-1, 12%), Walgreens (-0.83%) and IBM (-0.74%).
Outside of this index, the strong rise in the technological Meta – parent company of Facebook, Instagram and WhatsApp – stood out, which shot up more than 7% after announcing a new round of about 10,000 layoffs, which will be added to the 11,000 announced last November .
In other markets, Texas oil fell 4.63% and closed at $71.33 a barrel, and at the end of the trading session gold fell to $1,906.9 an ounce, the yield of the 10-year US bond it rose to 3.668% and the dollar lost ground against the euro, with a change of 1.074.
With information from EFE / Photo: EFE / JAC
