On Tuesday, Wall Street finally expanded its previous day’s losses after initially mixed trading. The mood was depressed, among other things, by disappointing economic data: The US construction industry suffered a setback in April. The number of newly started buildings decreased significantly and hardly any more houses were approved for construction. In addition, regional coronavirus outbreaks in Asia continued to unsettle investors.
Der US-Leitindex Dow Jones Industrial fell 0.78 percent to 34,060.66 points. For the market-wide S&P 500
it was down 0.85 percent to 4127.83 points. The tech-heavy Nasdaq 100 lost initial gains and ended up losing 0.72 percent to 13,217.68 points.
Meanwhile, Walmart spread optimism . The largest US retailer had raised its annual targets after a strong first quarter. In its home market, the company benefited greatly from the trillion dollar government aid programs to cope with the Corona crisis, which boosted consumer spending. The shares gained a good two percent at the top of the Dow.
At the end of the index, Chevron’s papers lost more than four percent. Star investor Warren Buffett had cut his stake in the oil company by half.
The international media industry is apparently still moving after two big deals. According to circles, the world’s largest online retailer is Amazon be interested in the Metro-Goldwyn-Mayer film studios. Amazon could thus strengthen its streaming service Prime Video in the increasingly tough competition. Amazon’s shares fell by more than one percent.
Only at the beginning of this week had the wave of consolidation in the industry ensured that the US telecommunications giant AT&T
its media division Warner Media (CNN, HBO, Warner Bros.) with the offer of the rival Discovery wants to merge to strengthen the streaming offer. In Europe, the French television companies M6 and TF1 want to merge.
The shares of AT&T, which had lost almost three percent the day before after initial gains, now lost just under six percent at the bottom of the S&P 500. With the deal, AT&T is largely giving up its ambitions to be a big player in the media business. And without all of Warner Media’s cash inflow, AT & T’s investors will now have to prepare for lower dividend payments going forward.
In an environment that was weak for telecom stocks on both sides of the Atlantic, the shares in T-Mobile US lost their shares almost four percent, making it the weakest value in the Nasdaq 100. Deutsche Telekom wants to do this According to circles, increase their stake in the US mobile operator. The Germans were aiming for a majority stake in the company, reports the Bloomberg news agency, citing a person familiar with the matter. A telecom spokesman made no comment on the matter to Bloomberg.
The Euro last traded at $ 1.2226, the highest level since the end of February this year. It had previously become known that the Federal Constitutional Court had rejected two applications against the securities purchases by the European Central Bank (ECB). The ECB set the reference rate at 1.2222 (Monday: 1.2143) dollars. The dollar cost 0.8182 (0.8235) euros.
The futures contract for ten-year Treasuries (T-Note-Future) rose by 0.13 percent to 132.43 points. The yield on ten-year bonds was 1.64 percent./la/he
— By Lutz Alexander, dpa-AFX —
ISIN US2605661048 US6311011026 US78378X1072
AXC0403 2021-05-18/22:51
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