(New York) The New York Stock Exchange was modestly positive on Thursday, pending inflation data and a U.S. central bank meeting next week.
The Dow Jones Index gained 0.08% and the S
The day before, investors had left the big names in “tech” in a rotation movement towards small caps.
The NASDAQ had thus fallen by 1.29% to 13,104.89 points. The Dow Jones index advanced 0.27% to 33,665.02 points and the broader S index
“It would be wrong to believe that not much is happening in the market,” Patrick O’Hare of Briefing.com said in a note.
“The market is actually doing better than fine as money shifts away from mega-caps to … small-cap stocks,” he pointed out. “It’s unclear, however, if this rotation is a tactical adjustment or if it’s a structural transition that reflects growing confidence in the economic outlook,” the analyst added.
On Thursday, the Russell 2000 index, which includes small caps and which has been rising steadily for a week to reach a three-month high, opened down 0.93%.
Among the week’s few indicators, jobless claims jumped to 261,000 during Memorial Day week from 233,000 the week before, the biggest jump since October 2021.
“The impact of this indicator which can be volatile in these periods of public holidays is minimal on monetary policy”, judged Matt Martin of Oxford Economics.
“We still expect the Fed to pause rate hikes at the June meeting, but further hikes are possible if the labor market and inflation do not cooperate,” he added. .
This feeling that the Fed could only take a short break in its tightening was reinforced after the surprise rate hike made by the Bank of Canada on Wednesday.
“Smoke isn’t the only thing coming to us from Canada this week,” Schwab analysts quipped as the northeastern United States is engulfed in air-damaging fog caused by hundreds of fires in Canada.
“A rate hike in Canada worried Wall Street on Wednesday, but overall the market remains optimistic about a pause next Wednesday” from the U.S. Federal Reserve (Fed), the officials added. Schwab analysts.
According to CME Group’s projections based on futures products, there’s a 74% chance the Fed will leave its overnight rate unchanged between 5% and 5.25% after its meeting. money on June 14.
Among stocks, Gamestop, the highly volatile title of the video game distributor, lost almost 20% to 20.92 dollars after the dismissal of its CEO Matthew Furlong. On Wednesday, the group announced a drop in turnover for the first quarter and a loss of 50 million dollars, however well below that of the 1st quarter of 2022.
The hotel group Wynn Resorts lost 1.60% around 10:00 a.m. (Eastern time) after an analyst rating downgrade dragging down several tourism-related stocks, from MGM Resorts (-1.25%) to the Marriott International group (-0.98%).
The manufacturer of high-end electric vehicles Lucid said, through the voice of its director of operations in China, that the brand was preparing to enter the Chinese market. Lucid’s stock was up more than 2%.
The Adobe software group climbed 3.54% after announcing that it was offering access to its artificial intelligence tool Firefly, image creator, to its biggest customers.
In Europe, Eurostat data from January to March showed that the eurozone had entered recession with GDP falling by 0.1% for the 20 countries sharing the single currency, as in the fourth quarter of 2022.
On the bond market, US ten-point rates eased to 3.75% from 3.79% the previous day.