Equities New York: Slight losses after recovery rally

NEW YORK (dpa-AFX) – The US stock exchanges have given way again after the recent recovery rally. The leading index Dow Jones Industrial was listed slightly lower at 35,128.42 points on Tuesday. The broader S&P 500 fell 0.11 percent to 4510.62 points.

For the tech-heavy Nasdaq 100 was down 0.40 percent to 14,870.59 points. It had risen by more than 3 percent on each of the past two trading days.

Fresh US economic data dampened the mood somewhat. Construction spending rose less than expected in December.

Meanwhile, the debate on the appropriate course for the US Federal Reserve to combat high inflation continues. Several Fed officials said they favor raising rates at a pace that doesn’t unnecessarily disrupt the economy. This is “good news” to calm investors’ nerves, a market analyst said.

In the meantime, mostly good news came from the company side: The parcel boom in Germany and abroad brought United Parcel Service (UPS) a surprisingly strong profit in the past year and the company goals for the current year also exceeded the analysts’ expectations. Shares in the US parcel service soared to a record high and most recently rose almost 14 percent at the top of the S&P 500.

ExxonMobil shares rose nearly 6 percent. After heavy losses at the beginning of the corona pandemic, the largest US oil company is earning brilliantly again.

Among the bottom performers in the S&P 500, AT&T fell four percent. The highly indebted telecom group wants to limit its dividend payout ratio to around 40 percent of cash flow.

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Never miss any important news. Subscribe to our newsletter.