NEW YORK (awp international) – The recovery of the New York stock exchanges continued at the beginning of the week. Investors expect consumer price data expected for Tuesday to indicate that inflationary momentum in the US will continue to slow. This would ease the pressure on the Fed as it tightens its monetary policy. The continued weakening of the US dollar was also indicative of a growing willingness to take risks on the part of investors.
The Dow Jones Industrial closed on Monday with a 0.71% rise to 32,381.34 points after hitting a peak of 32,500 points, the highest level since late August. It was his fourth consecutive day of winning. The market-wide S&P 500 gained 1.06% to 4110.41 points. The mighty Nasdaq 100 rose 1.20% to 12,739.72 points, supported by significant gains in the Apple heavyweight sector.
“The recent optimism among investors is likely due to hopes for a second month of slowing US inflation,” a market watcher said. If inflation data were behind this, a further positive trend in stock prices is conceivable this week. As early as August, the rise in US consumer prices had surprisingly slowed to 8.5 percent, while remaining at a very high level.
Apple was at the forefront of the Dow: with a plus of almost 4%, the iPhone maker’s newspapers continued their recovery from the low since the end of July. After a good two weeks, they are back above the much-noted 200-day line, which is a popular long-term trend indicator among chart-oriented investors. The pre-order numbers for the new iPhone 14 have been listed as the course driver.
Otherwise, the pharmaceutical company Bristol Myers-Squibb stood out among the individual values: after an anticipated price increase of more than 8%, an increase of 3.1% still remained. The shares benefited from FDA approval of the psoriasis drug Sotyktu. This was offset by a 4% price drop in Amgen. So far the company has been strong with a drug in this niche, but now it faces more competition.
Even within the sector, Gilead shares won the most, up 4.2%. The pharmaceutical company announced that it has reached a settlement in a patent lawsuit with several generic drug manufacturers. According to RBC analyst Brian Abrahams, this is a very positive development as the deal guarantees long-term revenue opportunities.
Oil companies Chevron, Exxon Mobil and ConocoPhillips reported price increases of between 1.2 and 2.2 percent. This was aided by the increase in oil prices, which was supported by the drop in the dollar exchange rate.
The euro briefly approached $ 1.02 on Monday, the highest level in nearly four weeks. Eventually, it rebounded slightly to $ 1.0120. The European Central Bank (ECB) set the reference rate at 1.0155 (Friday: 1.0049) dollars. The dollar therefore cost € 0.9847.
US Treasuries temporarily gave up on gains on Monday. The 10-year Treasury futures contract recently fell 0.05% to 115.67 points. In return, the yield on these government bonds rose to 3.35%. / Tih / jha /
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