Thursday, June 17

Stock market: Wall Street goes up, pushed by the Nasdaq

(Photo: 123RF)

MARKET REVIEW. The New York Stock Exchange was trying to rebound at the opening Thursday, after three sessions of losses.

The Toronto Stock Exchange rose at the start of the session, mainly thanks to the rise in technology stocks.

The clues

In Toronto, the index S & P / TSX ends the day down 90 points, or 0.46%, to 19,417 points.

In New York, the S&P 500 yielded 12 points, or 0.29%, to 4,115 points.

The Dow jones lost 164 points, or 0.48%, to 33,896 points.

The Nasdaq almost broke even, falling 3 points, or 0.03%, to 13,299 points.

The context

The day before, after the release of the minutes of a meeting of the American Central Bank (Fed) according to which some members of the Committee wondered if it would not be time to consider a monetary normalization, the indices had ended in the red for the 3rd session in a row.

“It’s amazing how resilient this market remains,” commented TD Ameritrade’s JJ Kinahan, citing the last-minute rise in indices the day before to limit their losses.

“The incredible comeback on Wednesday came despite the Fed’s somewhat belligerent words. The resilience continues this morning, but let’s see if it will last all day, ”added the analyst.

As the Central Bank keeps rates close to zero and buys $ 120 billion in assets per month to support activity, some of its officials have started the debate on whether to consider reducing these cash injections soon if the he US economy continues to improve at this rate.

Stocks in the information technology (+ 1.08%) and communications services (+ 0.97%) sectors, which suffered the most from the turnover of inflation-conscious investors, began to recover. strength.

Macroeconomic news was mixed with weekly jobless claims falling to 444,000, better than expected, from 478,000 in the first week of May.

But manufacturing activity in the Philadelphia region (northeastern United States) slowed sharply in May after a high reached in April, affected in particular by supply difficulties for certain components, according to the index of l local branch of the American Central Bank (Fed).

The index fell 19 points to 31.5 points in May from 50.2 points in March. This is lower than the expectations of analysts who expected 42 points.

The rates on 10-year Treasury bills eased significantly to 1.638 6% against 1.671 0% on Wednesday.

Bitcoin, whose rout the day before following a call to order in China against cryptocurrencies had participated in the downturn on Wall Street, resumed its colors up 10% to US $ 42,252.

Cisco, which announced good results in the third quarter, but whose projections are lower than analysts for the next quarter, lost 2.12% to 51.36 dollars.

The cryptocurrency exchange platform Coinbase which had lost almost 6% the day before in the wake of the fall of bitcoin, gained 2.38%.

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