(New York) The New York Stock Exchange was trading in disarray on Thursday, trying to rebound after the poor session the day before and stronger than expected job creation in the United States.
Around 11 a.m. (Eastern time), the Dow Jones index gained 0.43%, the technology-heavy NASDAQ lost 0.25% and the S
Continuing the correction that began at the start of the week after the surge in the indices at the end of the year, the Dow Jones fell 0.76% on Wednesday to 37,430.19 points.
The NASDAQ index lost 1.18% to 14,592.21 points and the broader S index
Yields on Treasury bills were up sharply in the wake of the Fed’s minutes published Wednesday indicating that the rate cuts, eagerly awaited by the market, are still very uncertain.
In the report of its last monetary meeting, the American central bank considers it “appropriate” to maintain its high rates as long as inflation has not returned to a level sufficiently close to the Federal Reserve’s objective, i.e. 2 % per year.
“Some anxiety is growing that the Fed may not cut rates as much as expected,” commented Patrick O’Hare of Briefing.com
Ten-year bond yields were above 3.98% compared to 3.91% on Wednesday.
In terms of indicators, job creation in the private sector was more numerous than expected in December at 164,000 compared to 114,000 expected by analysts, appearing to show that the labor market is still dynamic.
Official employment figures are due Friday. Job creation should be lower than in November at 162,000 compared to 199,000, according to analysts. The unemployment rate is expected to increase from 3.7% to 3.8%.
Furthermore, weekly applications for unemployment benefits remained low, falling from 18,000 to 202,000, a three-month low to the surprise of analysts.
On the market, Eli Lilly laboratories gained 0.80% after announcing the launch of a direct distribution site for its star drugs including those against diabetes which promotes weight loss and is marketed under the name Mounjaro.
“The complexity of the U.S. healthcare system adds to the burden faced by those with chronic illness,” CEO David Ricks said in a statement. “With LillyDirect, our goal is to alleviate these challenges by simplifying the patient experience,” he added.
The shares of the Danish laboratory Novo Nordisk listed in New York, manufacturer of the competing drug Ozempic, climbed 2.39%.
Shares of drugstore chain Walgreens Boots Alliance were down almost 11%.
The company reported Q1 results in line with forecasts and maintained its annual outlook, but reduced its dividend amount to preserve cash.
Competing brand CVS lost 1.11%.
Apple, the largest capitalization in the New York market, lost 1.34%, weighing down the NASDAQ. The outlook for the Apple firm’s stock has been revised downward by the investment bank Piper Sandler, after already a negative opinion from Barclays last week.
The manufacturer of connected exercise bikes Peloton accelerated by more than 7% to $5.76 after announcing a partnership with TikTok to create a video exercise platform.