Business & Investment

High-tech stocks sink to Wall Street sales after U.S. employment reports

Investors withdrew from US stocks on Friday, dumping stocks of major tech companies and significantly lowering the technology-intensive Nasdaq Composite Index.

Nasdaq fell 2.4% in New York by early afternoon. This was the biggest drop in more than two months. Corporate value.

Etsy, Adobe, and Tesla were all one of the biggest losers of the day, down more than 5%. Facebook has fallen by more than 2%, losing more than 20% from its recent peak in early September. The S & P 500 index for high-end equities fell about 1.2%.

The sharp fall marked the volatile end of the two-week transaction, which was characterized by significant price volatility across the asset class.

Kristina Hooper, Invesco’s Chief Global Market Strategist, said:

This move came after a report from the Bureau of Labor Statistics showed the U.S. economy. Add just 210,000 new jobs Less than 550,000 predicted by economists in a Refinitiv survey last month.

The economy has added less employment than last month’s forecast, but unemployment has remained the lowest since the pandemic began. “This wasn’t a report of a weak job,” Hooper said.

For investors, data has left the door open to a faster pace of policy tightening.Federal Reserve Chairman Jay Powell on Tuesday Signaled his support This is to get rid of the central bank’s $ 120 billion monthly bond purchases more quickly. This program has been an important pillar of rising stock prices since the seriousness of the coronavirus crisis last year.

In addition to the market-wide whip saw movement, there is a desire among fund managers to record profits towards the end of the year and avoid suffering from sentiment changes.

Max Gokhman, Chief Investment Officer of AlphaTrAI, said:

In the afternoon trading in New York, yields on 10-year Treasuries fell 0.07 percentage points to 1.37 percent. Bond yields are inversely proportional to price.

Investors are balancing the more hawkish Federal Reserve with new signs of slowing global growth and the potential for Omicron coronavirus variants to impede economic recovery.

Germany is moving to impose social restraints on unvaccinated people, and U.S. President Joe Biden has announced measures to delay the spread of the coronavirus, including stricter testing requirements for international travelers. bottom.

The Stocks Europe 600 stock index fell 0.6% after falling 1.2% in the previous session. London’s FTSE 100 fell 0.1%.

In Asia, the Hang Seng Index in Hong Kong fell by about 0.1%.

Stocks of Chinese companies listed on New York were also under great pressure on Friday after the ride-haling app Didi announced plans to delist from the New York Stock Exchange and prepare to go public in Hong Kong.

Diddy’s share price fell 17% in US time. JD.com, Baidu and Pinduoduo all fell about 8%, similar to Alibaba.

High-tech stocks sink to Wall Street sales after U.S. employment reports

https://www.ft.com/content/1e9d4e31-ef18-442f-ad72-c6a652e1c6c4 High-tech stocks sink to Wall Street sales after U.S. employment reports

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