Stocks in New York continue their downward trend | Free press

New York.

The sell-off in the US stock markets continued on Thursday. At least the indices limited the losses in late trading. The leading Dow Jones Industrial index fell 0.33 percent. up to 31,730.30 points – the next minimum from the beginning of March last year.

This stock market year, the defeat rose to nearly 13 percent. If Friday’s sell-off continues, Dow could face its worst trading week since October 2020.

The Nasdaq 100, dominated by tech companies, fared relatively well, from minus 0.18% to 11,945.50 points. However, since the beginning of the year, the index has lost almost 27 percent. First of all, rising interest rates on the capital market are causing investors to sell stocks of technology companies. The market-wide S&P 500 index closed 0.13 percent. less than 3,930.08 points

Stock market losses are mainly due to high uncertainty as to how quickly and how strongly the US Federal Reserve will raise interest rates. “There is concern that the key interest rate will rise too quickly and the economy will eventually fall into recession,” wrote economist Cyrus de la Rubia of the Hamburg Commercial Bank.

Lockouts in China are causing problems for Apple

Shares from tech companies like Apple and Microsoft continued to plummet. Apple shares fell 2.7% to their lowest level since mid-October. They had been replaced the day before by the Saudi Aramco oil company as the most valuable company in the world. A major iPhone supplier, Taiwan’s Foxconn, had to suspend production in Shenzhen, China, as China imposed extensive corona locks. Apple supplier Unimicron has also suspended production, according to reports.

In addition, a study by the US bank Wells Fargo weighed on General Motors (GM) and Ford papers: GM lost 4.6 percent and Ford 3.0 percent. Analyst Colin Langan argued that the production costs of electric vehicles are likely to rise sharply. Higher commodity prices alone added an estimated $ 12,600 to the total cost of the GM Silverado. The papers of the electric car manufacturer Tesla also fell.

Initially, Beyond Meat newspapers were also under a lot of pressure after disappointing quarterly figures from a meat substitute manufacturer. The price dropped more than 20 percent at the start of the trade, and the loss was still a good four percent in the end. From the record level at the beginning of 2021, newspapers have already lost more than 90 percent.

The euro had to beat and it fell to its lowest level since the beginning of 2017. Recently, the single currency cost $ 1.0373. The European Central Bank (ECB) previously set the reference rate at $ 1.0408 (Wednesday: $ 1.0553). So the dollar cost 0.9608 (0.9476) euro. (dpa)

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