(New York) The New York Stock Exchange ended in dispersed order on Wednesday, slightly cooled, after the strong rebound of the previous day, by the remarks of the head of the American central bank who does not exclude two future rate hikes in the coming years month.
The Dow Jones index lost 0.22% to 33,852.66 points and the S
Investors were moderately affected by statements by Jerome Powell, Chairman of the Federal Reserve, the US central bank (Fed).
Speaking at a conference of central bankers in Sintra, Portugal, Powell said the economic situation was “far from a return to normal”.
“We think there will be further tightening” of monetary policy, to curb inflation, the Fed Chairman stressed. “I’m not ruling out the possibility of an increase in two successive meetings,” he added.
“He basically repeated what he had already said,” said LBBW’s Karl Haeling. “I think the market was kind of taking a break,” after Tuesday’s sharp rise, “because it’s the end of the quarter and there’s been some portfolio rebalancing,” the analyst explained.
On the bond market, ten-year rates fell to 3.71% from 3.76% the previous day.
We are also approaching the long weekend of the July 4 national holiday and the exchanges are lessening.
Some tech stocks took the hit after reports from the Wall Street Journal that the Biden administration plans to limit exports of artificial intelligence (AI) chips to China.
Asked by AFP, the Commerce Department has not commented yet.
But the stock of Nvidia, the specialist in super-powerful microprocessors sought after by AI, nosedived, losing 1.81% to $411.17. The group derives some 20% of its revenue from China, noted Edward Moya analyst for Oanda.
The big banks were down slightly as they waited for the Fed, which regulates the banking sector, to disclose the results of the stress tests just after the market close. Bank of America ended down 0.58%, Citigroup 0.34% and Wells Fargo 0.71%.
Major U.S. banks have enough liquidity to withstand a “severe recession” while still being able to continue lending, the Fed said after tests involving 23 major banks.
Elsewhere on the stock exchange, Netflix had the wind in its sails (3.06%) while Disney lost 0.26%.
The food group General Mills, which sells the Cheerios, Lucky Charm and Häagen-Dazs brands, fell 5.17% after mixed results in the fourth quarter. While profits have increased thanks to inflation, this price increase has increased sales volume and production costs.
Meal delivery company DoorDash climbed 2.31% to $76.49 after reforming its pay system for delivery workers.
Shares in space tourism firm Virgin Galatic benefited (9.22%) from the prospect of a manned launch on Thursday, its first commercial flight sponsored by the Italian Air Force.
The Californian start-up Joby Aviation, which wants to develop an all-electric flying service, soared 40.22%. The company has announced the appointment of a Toyota executive, Tetsuo Ogawa, boss of the Japanese automaker in North America, to its board of directors.
The Toronto Stock Exchange ended Wednesday’s session higher, with gains in the energy and information technology sectors notably offsetting weakness in the base metals group, while the major U.S. indices ended the day in scattered order.
The composite index S
In New York, the Dow Jones industrial average fell 74.08 points to 33,852.66 points, while the broader S index
In the currency market, the Canadian dollar traded at an average rate of 75.45 US cents, down from 75.90 US cents on Tuesday.
On the New York Commodities Exchange, crude oil prices rose US$1.86 to US$69.56 a barrel, while natural gas fell US$12 cents to US$2.67 a barrel. million BTUs.
The price of gold returned US$1.60 to US$1922.20 an ounce and that of copper depreciated 5 cents US to US$3.74 a pound.