[뉴욕증시]Slight rebound in anticipation of US stimulus

[샌프란시스코=뉴스핌]Correspondent Narae Kim = The US New York Stock Market closed with a slight rebound on the 12th (local time).

On this day, the Dow Jones Industrial Average of the New York Stock Exchange (NYSE) closed at 31,068.69, up 60 points (0.19%) from the previous day. The Standard & Poor’s (S&P) 500 jumped 1.58 points (0.042%) to 3801.19, while the Nasdaq rose 36 points (0.28%) to close at 13072.43.

US President-elect Joe Biden [사진=로이터 뉴스핌]

On that day, the mayor expressed anticipation for the massive fiscal stimulus plan that President-elect Joe Biden would bring. President-elect Biden announced on the 14th that he will unveil the outline of a stimulus package worth trillions of dollars. However, uncertainty over politics and alertness during the earnings season limited the index’s rise.

“On Wall Street, Democrat Joe Biden is betting that US President Joe Biden will bring greater fiscal stimulus and that the expansion of the coronavirus vaccine will boost the economy,” said Michael James, managing director of equity trading. Wow, there is a greater expectation.”

In addition, the recent tremendous rise in US Treasury yields is putting pressure on the stock market. This is because if interest rates rise, anxiety about the valuation of the stock increases. The 10-year US Treasury bond amounted to 1.14%, the highest level since the Corona 19 epidemic. It also rose to 1.18% during the intraday.

Until now, the rise in interest rates was interpreted as reflecting an improvement in the outlook for the economy and inflation, and did not act as a factor of unrest in the stock market.

CMC Market Analyst Michael Hussen said, “This week has made US Treasury bonds more attractive in the long run given the start of announcing variables to watch out for this year.”

By sector, the S&P 500’s energy sector rose 3.6% and finance rose 1.1%. Utilities and healthcare fell 0.6% and 1.1%, respectively, while technology stocks fell 0.5%.

In particular, major technology stocks overall fell. Alphabet fell 1.07%, Microsoft 1.18%, etc. Art Hogan National Securities’ chief market strategist said, “As we see the gradual rise in 10-year Treasury yields, questions about technology stocks are being raised.”

Separately, Facebook and Twitter share prices are declining every day in the aftermath of the Trump account block. Twitter fell 2.37% and Facebook fell 2.24% that day. President Donald Trump accused him of blocking accounts on social media such as Facebook, “they made a terrible mistake.”

By category, the US automaker General Motors (GM) ended up 6.24% as it announced that it would enter the electric vehicle business. Financial stock Wells Fargo rose 2.1% after raising its UBS target, and Bank of America also ended with a 1.8% increase.

In addition, Tesla also ended with a rebound 4.72% on the news of the imminent entry into India, while the electric car Nio fell 1.2% as Citigroup lowered its share price.

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