(New York) The New York Stock Exchange closed slightly lower on Tuesday, regaining some of the ground lost in the session after poor trade data from China and warnings about the banking sector.
The Dow Jones index, which lost more than 1% during the session, finally lost only 0.45% to 35,314.49 points. The tech-heavy NASDAQ dropped 0.79% to 13,884.32 points and the broader S index
China released disappointing trade data, including a 14.5% drop in exports year on year in July and a 12.4% decline in imports, the fastest contraction in two years.
On the US foreign trade side, exports and imports in June were weaker than the previous month.
On another front, a warning from ratings agency Moody’s on Monday evening downgraded the rating of a dozen small US banks, citing risks associated with their exposure to commercial real estate, including M
Regional banks fell, such as PacWest Bancorp (-1.43%) or Western Alliance (-1.19%). As well as large banks, such as Goldman Sachs (-2.05%) or Citigroup (-1.46%).
“As Moody’s forecasts a recession in the United States in the coming year, the level and quality of bank capital will be critical to their ability to weather the storm,” the agency said.
“Stocks fell as the global macro backdrop darkened,” commented Edward Moya of Oanda.
Express delivery group UPS, which employs more than 500,000 people worldwide, announced that it now expects full-year revenue of around $93 billion, down from around $97 billion previously, and an adjusted operating margin of around 11.8% (12.8% previously). The stock fell 0.86%.
In the second part of the session, the indices nevertheless regained a good part of the lost ground with a return of risk appetite on the part of investors which also caused oil to rebound and the dollar to recover a little.
According to Patrick O’Hare of Briefing.com, “nothing so far disputes the idea of a soft landing” for the US economy.
Eli Lilly shares soared 14.87% to a record high of $521.60 after the pharmaceutical company raised its full-year guidance and posted better-than-expected quarterly earnings on strong demand from its diabetes medicine Mounjaro, which causes weight loss.
The Toronto Stock Exchange closed lower on Tuesday, following in the footsteps of the main New York indices.
The composite index S
In New York, the Dow Jones Industrial Average fell 158.64 points to 35,314.49 points. The extended index S
The Canadian dollar was worth 74.32 US cents, compared to 74.88 US cents on Friday.
On the New York Commodities Exchange, the price of oil added 98 cents US, to reach US$82.92 a barrel. The ounce of gold fell by US$10.10 to US$1959.90. The copper pound was worth US$3.77, down 7 US cents.
Natural gas for September delivery was up US5 cents to US$2.78 per mmBTU.
