Börse Express – New York Stocks Outlook: Tech slump continues

NEW YORK (dpa-AFX) – After the late price slide the night before, the Dow Jones Industrial appears to be to stabilize initially on Thursday. The leading index of Wall Street was priced by the broker IG 0.2 percent higher to 36,485 points after it slipped into the red by about one percent on Wednesday in the closing hours due to renewed interest rate fears. Details from the minutes of the recent Fed meeting were responsible for this.

For investors in growth stocks from the technology sector, the interest rate perspective remains a hot topic: The Nasdaq 100 selection index, which is shaped by them was seen half a percent lower after the last two days with heavy losses. If it falls below the 15,700 point mark, things get interesting from a technical perspective: the 100-day average line, which is popular with investors as a medium-term indicator, is currently running at 15,671 points.

“The Minutes surprised the markets because they reveal a rather aggressive monetary policy view of the central bankers,” said DZ Bank analyst Birgit Henseler in a comment. From the details of the previous meeting it emerged that a faster rate hike may be justified in light of economic and inflationary trends. In addition, there were voices that the central bank should start reducing total assets shortly after the first interest rate hike.

Investors from the banking sector are happy to respond to this, because here higher interest rates are seen as beneficial for day-to-day business, for example with loans. The papers of the major US banks JPMorgan
, Morgan Stanley or Citigroup
climbed in pre-trading between 1.3 and 1.5 percent. The reporting season for banks will also begin next week. JPMorgan expert Vivek Juneja expects very strong credit growth. This means that the industry should not only benefit from rising interest rates in the new year, according to his thesis.

The fear of interest rates, which has come back into focus, is having a negative impact, especially in the growth stocks from the technology sector, where a loose monetary policy is seen as an important criterion for the strong momentum of recent years. For Tesla’s papers , an important indicator of the general mood on the Nasdaq, for example, the pre-trading session continued to decline by 1.4 percent. The price is gradually approaching the psychologically important $ 1,000 mark again.

Otherwise there was only a few moving news on the company side. A pillar for the Dow are pre-market shares of the drugstore and pharmacy chain Walgreens Boots Alliance, which are 4.2 percent stronger . Thanks to corona vaccinations and tests, this started the new financial year with surprisingly strong growth. In the course of the quarterly figures, the company’s annual forecast was raised./tih/jha/

 ISIN  US2605661048  US6311011026  US78378X1072

AXC0201 2022-01-06/15:07

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