Business & Investment

Wall Street will be suspended after this week’s fierce rally

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The US stock index was set to fall on Thursday after recording a three-day consecutive rise in the positive update of the Omicron coronavirus variant. Currently, the focus is on economic data that will help the Federal Reserve make policy decisions.

Halliburton Co and Citigroup Inc fell 1.2% and 0.9% in pre-market transactions, respectively, declining the top shares of major energy companies and banks.

Megacap technologies and telecommunications stocks such as Microsoft Corp, Alphabet Inc, Meta Platforms, Amazon.com, Apple Inc, Tesla Inc and Nvidia Corp fell 0.4% to 0.8% this week.

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Wall Street key indicators closed high on Wednesday after test data showed that the COVID-19 vaccine from Pfizer and BioNTech provided some protection against the new Omicron variant.

“We’re seeing a bit of a setback here, which is based on profit taking after a few days of solid profits, and the recent announcement by Pfizer was a great relief for investors,” said Spartan Capital Securities in New York. Said Peter Cardillo, Chief Market Economist at New York.

Markets have grown rapidly since late November, when the World Health Organization classified the latest variants as “concerns,” and investors are seeing a faster gradual decline in monetary stimulus to deal with the FRB’s soaring inflation. I am concerned that Omicron could overturn the global recovery when it suggests.

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The S & P 500 Index has regained almost all of its decline after falling 5.24% from its record high on November 22, and is now 0.9% below its all-time high.

Currently, attention is focused on the CPI data scheduled for Friday. Hotter than expected readings could intensify cases of aggressive policy tightening ahead of next week’s central bank meeting.

The Fed will raise interest rates faster than expected a month ago in the third quarter of next year, according to Reuters poll economists.

At 8:32 EST, Dow e-minis decreased 136 points (0.38%), S & P 500 e-minis decreased 16.75 points (0.36%), and Nasdaq 100 e-minis decreased 68.25 points (0.42%). Did.

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CVS Health Corp rose 2.7% after drugstore operators raised their 2021 earnings forecast.

GameStop Corp fell 4.8% after video game retailers announced in August that they had been issued a subpoena by US securities regulators on a document on investigating stock trading activity.

According to data, the initial bill for unemployment in the state plummeted from 43,000 to 184,000, dropping to its lowest level in more than 52 years last week as labor market conditions continued to tighten amid a serious labor shortage. rice field.

Meanwhile, a deal that avoids US defaults and raises the federal government’s $ 28.9 trillion debt limit will be tested in the Senate Thursday when all conference rooms vote on whether to approve the bill. (Report by Devik Jain and Shreyashi Sanial in Bangalore, edited by Maju Samuel)

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Wall Street will be suspended after this week’s fierce rally

https://financialpost.com/pmn/business-pmn/wall-street-set-to-pause-after-sharp-rally-this-week Wall Street will be suspended after this week’s fierce rally

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