(ABM FN-Dow Jones) US stock markets remained close to home on Tuesday, after setting new records on Monday in signs of a rapid economic recovery.
The S & P500 rose less than 0.1 percent to 4,080 points. The technology NASDAQ index rose 0.2 percent, and the Dow Jones index declined slightly.
On Monday, the S&P and Dow indices closed in new records in weak trades, buoyed by the strong US jobs report from Friday.
President Joe Biden’s stimulus plans, the smooth implementation of vaccinations and the easing of lockdown measures against the Coronavirus, led to a strong entry into stock markets in the second quarter. Tech stocks, which were mixed in the first quarter, are also on the rise.
“I think the economy will continue to re-open at a faster rate than people are expecting,” said Keith Jungle of Gradient Investments.
“It looks like the US economy has accelerated,” said Brian O’Reilly of Mediolanum International Funds. He pointed out that profits are wide and not limited to one sector. According to him, the data released by the Federal Reserve could still cast a brilliance into the business.
Naeem Aslam, a market analyst at AvaTrade, expects the Nasdaq to rise strongly, “something we’ve never seen before because tech stocks are cheap.”
It was quiet from an economic point of view. The International Monetary Fund raised its forecast for global economic growth from 5.5 to 6.0 percent, in part on the basis of additional government funding in the United States. The US growth forecast was revised up from 5.1 to 6.4%.
The euro / dollar was trading at 1.1869, while the price of oil rose by about 1 percent. On Monday, the price of oil fell more than 4 percent due to concerns about oil demand.
Illumina rose 9 percent. The company, which revealed the genetic codes, expects to increase sales by at least a quarter this year.
Roku’s stake also increased by nearly 10 percent amid optimism about the digital media player maker’s earnings model.
Due to the troubles in Archegos, Credit Suisse has to write off 4.4 billion francs. The Swiss bank announced this Tuesday morning. The stock closed slightly lower in Zurich but was listed slightly higher on Wall Street.
SoftBank acquires a 40 percent stake in Norwegian AutoStore, for which it pays $ 2.8 billion. The Japanese company’s stake was slightly higher in the US, after a low shutdown in Japan.
The Norwegian Cruise Line said Monday it will make a plan to sail safely starting July 4, with the stake up 7 percent. These plans were announced on Tuesday. Initially three ships will return to sail, with destinations such as the Caribbean Islands and Greece. Norwegian shares rose 4.5 percent. Sectormate Carnival won by more than a percent.
ABM Financial News; [email protected]; Revised text: +31 (0) 20 26 28999.
From Beursplein 5, eds ABM Financial News Developments on stock exchanges, and the Amsterdam Stock Exchange in particular, are closely watched. The information in this column is not intended as professional investment advice or as a recommendation to make specific investments.
“Coffee fanatic. Friendly zombie aficionado. Devoted pop culture practitioner. Evil travel advocate. Typical organizer.”