New York stocks weaker ahead of inflation data

Investors in the US stock market took a more cautious approach on Tuesday at an overall high price level. The Dow Jones Industrial fell 0.31 percent to 36,319.98 points. The day before, the leading index had reached another record high. Before the mid-week US inflation data, investors would have taken profits, said analyst Michael Hewson of CMC Markets UK.

Inflation has been one of the main topics on the stock market for a long time, only this was pushed into the background by the positive reporting season.

The market-wide S&P 500 lost 0.35 percent to 4685.25 points. The technology-heavy Nasdaq 100 lost 0.71 percent to 16,219.94 points, burdened by the high price losses of the Tesla shares.

Tesla posted their highest daily loss since September 2020 with a decline of twelve percent to 1023.50 US dollars. The shares of the electric car maker are extremely overvalued, said an analyst. In the previous week they had reached a record high of $ 1,243. At the beginning of the week, they came under pressure after company boss Elon Musk had a vote on Twitter whether he should sell part of his shares in order to pay more taxes. Twitter users were for it.

The individual stocks also focused on General Electric (GE) with demerger plans. The papers of the industrial group temporarily gained more than seven percent, at the end of the day there were still 2.7 percent. The management intends to split GE into three listed companies: Aviation, Healthcare and a group that includes, among other things, the businesses around alternative energies, energy and digitization.

The shares of PayPal sagged by 10.5 percent. After the initial online shopping boom in the corona pandemic, business with the payment service is no longer quite as smooth. The figures for the three months to the end of September were below analysts’ expectations. In addition, PayPal lowered its annual targets.

Nvidia were worth over $ 800 billion for the first time. The head of the graphics chip manufacturer, Jensen Huang, had spread optimism and thus convinced analysts and investors. The latter then used the other course records to take profits. Nvidia closed half a percent lower.

The corona vaccine manufacturer Biontech shone with figures for the third quarter. The papers still lost 6.7 percent, but had also gained twelve percent the day before. After the market closed, the euro was priced at $ 1.1595. The European Central Bank (ECB) had set the reference rate at 1.1577 (Monday: 1.1579) dollars, the dollar thus cost 0.8638 (0.8636) euros.