Corona worries weigh on US stock exchanges | Free press

by time news

New York (dpa) – The US stock exchanges have not been able to escape the global market weakness. Due to ongoing concerns about the global economic recovery as a result of the corona pandemic, the Dow Jones Industrial went 0.75 percent lower at 34,421.93 points. Before that, courses in Europe and Asia were sometimes under great pressure. However, the Dow managed to roughly halve its minus over the course of the year.

The other major New York indices broke their recent record rally. The market-wide S&P 500 fell in the end by 0.86 percent to 4320.82 points. The technology-heavy Nasdaq 100 fell 0.60 percent to 14,722.14 points. Due to the particularly contagious Delta variant, investors currently fear that the rising number of corona infections will pose a threat to the economic recovery.

This was reflected in the continued fall in capital market rates. The yield on ten-year government bonds fell at 1.25 percent to its lowest level in five months. Market observer Edward Moya from broker Oanda also made concerns about the fact that it was decided to ban all viewers from the Tokyo Olympics. He sees the markets now facing a further test of the “buy the dip” mentality – that is, a quick access by investors in the event of price declines.

In the Dow, it was a few defensive stocks, such as healthcare and retail, that did well. The papers of the pharmaceutical company Amgen and the sporting goods company Nike were exceptions with moderate profits. However, Boeing advanced to the front-runner in the leading index in late trading with a plus of 2.2 percent. The aircraft manufacturer can hope for a re-registration of the 737 Max in China.

On the other side of the Dow, banks appeared at bigger discounts: JPMorgan and Goldman Sachs fell 1.7 and 2.4 percent, respectively. This was justified with the current situation on the bond market with sharply falling yields. After the last strong run, the shares of Apple shied away from an attack on the previous 145-dollar record. After an increase of almost 18 percent since the beginning of June, they lost 0.9 percent.

The latest slide in the shares of Chinese companies listed on the US stock exchange continued unabated after the Chinese government announced significantly tighter controls on them the day before. The shares of the newly listed in New York driving service broker Didi sagged by 5.9 percent. This was followed by Alibaba down 3.9 percent.

A positive outlier among the small caps were the shares of Virgin Galactic with a price jump of 17 percent. Company founder Richard Branson wants to get into one of the company’s space planes himself for a test flight at the weekend. The British billionaire wants to offer commercial space flights with his company.

The euro recovered during the day from its lowest level since the beginning of April, which was below the US $ 1.18 mark. Most recently, the common currency cost $ 1.1846. The European Central Bank (ECB) set the reference rate at 1.1838 (Wednesday: 1.1831) dollars. The dollar cost 0.8447 (0.8452) euros.

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