The main stock indices of the US market closed at a mixed rate on Tuesday, as the rise in the rates of yield on bonds in the United States favored the stocks of banks and penalized those of technology companies.
The index Dow Jones gained 0.55% to 35,813.80 points, and the expanded index S&P 500 0.17% to 4,690.70 points, while the technological Nasdaq fell -0.50% to 15,775.14 units.
“The main focus (of the market) is interest rates,” summed up Sam Stovall, CFRA’s head of investment strategy.
The debt market continued to digest the renewal, on Monday, of the mandate of the president of the Federal Reserve, Jerome Powell, whose confirmation by the Senate is considered discarded.
The election opens the way, for several operators, to an acceleration of the normalization of US monetary policy, which begins this month.
Thus, the 10-year Treasury bond rate gained 0.14 percentage points since the close of Friday, to settle at 1.68%.
The higher rates penalized growth sectors (those with firms that are committed to continuing to expand strongly), particularly technology.
Shares of Meta (formerly Facebook) fell -1.10% to $ 337.25 and Microsoft’s shares lost 0.63% to $ 337.69.
On the other hand, bank stocks benefited from higher rate bets that would improve their margins. JPMorgan gained 2.39%; Bank of America, 2.64%, and Wells Fargo rose 2.11 percent.