On Wall Street, in the middle of the session the market turns around and the DOW JONES rises 0.93% to 42,734 points, while the S&P 500 gains 0.77%, at 5,913 points. For its part, NASDAQ advanced 0.72% to remain at 19,516 points.
During Thursday’s trading sessionthe Dow Jones was the only major index to close positive, making a modest 15-point gain which was at least enough to end a 10-day losing streak, the longest since 1974. That marks its first session in the green since the all-time highs of December 4, when it surpassed 45,000 points.
The S&P 500 and the Nasdaq recorded moderate falls, of 0.09% and 0.10%, respectively, in a day that went from more to less.
Thus, Wall Street’s three major indices are on track for heavy weekly losses. Until the closing of yesterday Thursday, the S&P 500 and the Dow are down more than 3% so far this weekwhile the Nasdaq is down more than 2% in the same period.
The latest headache for the market has come after The House of Representatives turned its back on a measure backed by President-elect Donald Trump to fund the Government for three months and avoid a government shutdown. No less than 38 Republicans voted against the bill, while all Democrats, with the exception of two who supported the measure and one who voted present, also opposed it.
Without an agreement to fund the government and a bill that has passed the House and Senate and become law, a partial shutdown is scheduled to begin Friday night.
Investors are also keeping an eye on the November reading of the personal consumption expenditure (PCE) price indexthe Federal Reserve’s preferred inflation metric. The report could take on even more importance after the Fed this week revised upwards its inflation forecasts for 2025, warning that it only foresees two rate cuts in 2025 (or 50 basis points in total).
The data reads well in the American market, although it has not managed to correct the declines. It rises one tenth, one below what the market expected, up to 2.4% year-on-year, compared to 2.3% in October, but before an expected 2.5%. The underlying data rises 0.1% to 2.8%.
“Whatever the reaction, it will probably be more severe in one way or another than it would have been before seeing the Fed really raise those expectations,” warns Mike Dickson, head of quantitative research and strategies at Horizon Investments, in statements to CNBC.
Another important reference this Friday will be the consumer confidence index from the University of Michigan, although it will be known with the open market.
In the business field, Tesla shares have moderated the negative pre-opening data and lost 1.9% at the beginning of the session, as the effect that Trump’s victory had on the shares of the company led by Elon evaporates. Musk.
Nike is doing much better today, from best to worst Nike, which drops 4.7% in the first minutes, despite having surpassed market estimates with quarterly results presented last night. The sports apparel company earned 78 cents per share on revenue of $12.35 billion. Analysts had expected earnings of 63 cents per share and revenue of 12.13 billion.
Increases of 8.4% for Fedex in the initial minutes of business on Wall Street. In its second fiscal quarter, the delivery company recorded adjusted earnings of $4.05 per share, above the $3.90 the market had anticipated. The negative note is that income was below expectations. The company has also announced that it plans to spin off its freight transportation business.
In addition, Eli Lilly & Co, rises strongly at opening by 7% after the plummeting falls that it is experiencing today in the American ADRs and the Danish stock market Novo Nordisk, which have exceeded 27%. The reasons are due to the lack of fulfilled expectations for its new generation drug CagriSema, which is what the compound is called, and which represents a setback in the advances of Novo Nordisk, because the weight loss it provides is below expectations. .
The forecast indicated 25% and the decline in the percentage of kilos over the total remains at 22.5%. One of the things that is most sought after in this new drug is the absence of side effects, which Ozempic has produced so far.
In raw materials markets, Oil prices are on track to end the week negative as traders monitor the demand outlook for China, the world’s largest crude oil importer. On Thursday, China’s top refiner Sinopec said it expects the country’s crude oil demand to peak in 2027 as a rapid shift toward electric vehicles slows fuel demand.
The benchmark Brent in Europe fell 0.71% to $72.36 per barrel, while US West Texas futures fell a significant 2.5% to $68.81.
The exchange between the euro and the dollar stands at 1.0396 dollars for each single currency, with advances for the common European currency of 0.33%.
In fixed income, the yield of the benchmark US bond remains above 4.5%although it relaxes slightly to reach 4.502%. The two-year bond pays 4.264% in the secondary market.