Stock Market: Wall Street Unscrews Again for Technology and Energy

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MARKET REVIEWS. The New York Stock Exchange fell again on Monday, burdened by stocks of technology and energy, which reflects concerns about inflation, the reaction of the US Federal Reserve (Fed) and a possible recession.

The Toronto Stock Exchange fell more than 600 points on Monday due to a general fall caused by falling commodity prices, while major US indexes also lost weight.

To (re) read the market news

Stock market indices at the time of closing

In Toronto, S & P / TSX fell by 633.59 points (-3.07%) to 19,999.69 points.

In New York, S & P500 fell by 132.10 points (-3.20%) to 3991.24 points.

in Nasdaq fell by 521.41 points (-4.29%) to 11,623.25 points.

in DOW decreased by 653.67 points (-1.99%) to 32,245.70 points.

in loon was lower by 0.0063 US dollars (-0.8124%) to 0.7686 US dollars.

in butter fell by 7.30 US dollars (-6.65%) to 102.47 US dollars.

gold closed at $ 31.00 (-1.65%) to $ 1851.80.

in bitcoin lost 3,124.64 US dollars (-9.07%) to 31,340.62 US dollars.

Context

“Investors are unable to buy in decline, to buy” failure “(trough, ed.). There is no trust, “said Gregory Volokhin of Meeschaert Financial Services.

“The problem with the market is that it doesn’t see what good news will allow it to recover,” he said. “And if we don’t buy when it falls, it may continue to fall …”

Thus, the New York indexes started the week deep in the red after six consecutive weeks of losses for the Dow Jones and five for the Nasdaq and S&P 500.

“Constant inflation has prompted the Fed to become more aggressive in its rate-raising campaign, but this has fueled uncertainty about its ability to make a soft landing,” Schwab analysts fear.

“Rising interest rates and a strong dollar continue to worsen sentiment and signal tough financial conditions as the war in Ukraine and the blockade in China obscure the picture,” they added.

Investors also showed their nervousness ahead of the April release of the US inflation rate (CPI).

Rising prices excluding food and energy could continue to accelerate, according to analysts + 0.4% for the month against + 0.3% in March. Inflation should remain above 8% for one year, peaking in forty years.

The dollar rose to its highest level in twenty years, while bitcoin, a risky asset, fell 10 percent to its lowest level in nearly a year and a half at $ 30,700.

The interest-sensitive technology sector, which affects the future profits of these emerging companies, has been hit hard.

Apple (AAPL) lost 3.32%, Amazon (AMZN) 5.21%, Tesla (TSLA) 9.07%. In semiconductors, AMD (AMD) and Nvidia (NVDA) brought more than 9%.

Rivian (RIVN), a manufacturer of electric pickups, which entered the market in November, fell by 20.88%. According to press reports, Ford, one of the company’s largest shareholders, has sold a large stake in the young company.

Uber (UBER)which announced cost reductions fell 11.59% to $ 23.25.

Shares of the Palantir think tank fell more than 20 percent to about $ 7, below the IPO price two years ago. In the first quarter, the company recorded a larger-than-expected loss.

Reflecting concerns about oil demand and the pace of global activity with constraints on health care in Beijing, energy stocks and oil prices have fallen together.

Oil prices fell by almost 6%.

Shares of oil, the sector in the best condition since the beginning of the year and, therefore, also profitable, lost 8.30% in S&P.

Exxon (XOM) fell 7.81%, Chevron – 6.63% and Occidental Petroleum – 10.92%.

Caused by general reflux, Boeing (BA)heavyweight in the Dow Jones index, fell 10.47% to 133.31 US dollars.

The VIX, known as the “fear index”, which measures market volatility, has risen to almost 35%, the highest level in two months.

The yield on 10-year Treasury bonds, which reached 3.20%, the highest level since November 2018, before the opening of Wall Street, stabilized at 3.03%.

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