(New York) The New York Stock Exchange was mixed on Tuesday, digesting a weaker-than-expected rise in June retail sales in the United States and a series of bank results.
The Dow Jones index advanced by 0.62%, the NASDAQ, with strong technological coloring, yielded 0.24% and the broader index S
On Monday, the blue chip index was up 0.22% and the NASDAQ jumped 0.93. THE
The Commerce Department released the Retail Sales Index on Tuesday, which accounts for one-third of Americans’ consumption and is a crucial sign of consumer health.
These sales increased by only 0.2% in one month, against an increase of 0.5% expected. However, Art Hogan of Briefing.com points out, “After taking into account the May upward revisions, the June results are in line with expectations”.
Over one year, retail sales are up 1.5%, a figure that does not take inflation into account.
The Federal Reserve (Fed) also published the evolution of industrial production for June, which fell for the second time in a row (-0.5%). The manufacturing sector was down 0.3%, worse than expected.
On the stock exchange, investors were particularly interested in banks as results from US lenders are expected to reflect the health of the industry after the March banking crisis.
Bank of America, the second largest bank in the United States by asset size, again benefited from interest rate hikes. It recorded an 11% jump in revenue in the second quarter to $25.2 billion. Net profit was $7.4 billion, up 19%.
“We continue to see a healthy, slow-growing US economy with a resilient labor market,” bank chief Brian Moynihan said. The stock gained 3.64%.
Morgan Stanley was also highly sought after (5.62%) despite declining net profit. It fell 14% to $2 billion in the second quarter. The investment bank suffered from a “difficult” quarter in its advisory activities such as the IPO or mergers.
Turnover nevertheless increased by 2% over one year to 13.46 billion dollars, marked by a record in the wealth management branch. Its new assets deposited by clients reached $90 billion.
The defense group Lockheed Martin was stable after results and prospects supported by a context of continuous demand for armaments in the world.
From April to June, the company achieved a turnover of 16.7 billion dollars (8% year on year), more than expected by the markets. Its profit fell from $309 million a year ago to $1.68 billion.
Bond yields on ten-year Treasury bills fell to 3.76% from 3.80%.
