(News Bulletin 247) – Equity indices ended the session up on the New York Stock Exchange (+0.3% on the S&P500, +0.66% on the Nasdaq-100 and +0.14% on the Dow Jones), after an economic indicator likely to plead for a more accommodating attitude from the Federal Reserve on its monetary policy.
Indeed, manufacturing activity in the New York region fell heavily into contraction zone in May, given the Empire State index which came out at -31.8, compared to +10.8 in April, deterioration much greater than that feared by the consensus.
Many other statistics are expected this week, such as industrial production, retail sales and the Conference Board’s leading indicators for April, as well as several interventions by Fed members, including Jerome Powell.
The next few days should also be dominated by the issue of the US public debt ceiling, as discussions between Joe Biden and his Republican opposition still seem to be deadlocked.
‘Janet Yellen still sees June 1 as the date on which the United States will no longer be able to finance the functioning of the State, if the debt ceiling is not raised,’ recalls Vincent Boy, market analyst at IG France.
In terms of corporate publications, the week will mainly see those of several big names in distribution such as Walmart and Home Depot, as well as those of the giant of network technologies Cisco and the agricultural equipment manufacturer Deere.
Meanwhile, in securities news, conglomerate 3M has announced that Michael Vale, chief business and country officer, has been fired for ‘inappropriate personal conduct unrelated to the group’s operations and financial performance’ .
Newmont Corporation announced that following a due diligence, it has entered into a binding plan implementation agreement under which Newmont will acquire 100% of the issued share capital of Newcrest through a arrangement approved by an Australian court. Significant opportunities for optimization are expected. Annual synergies are estimated at $500 million before tax and are expected to be realized within the first 24 months.
Jefferies confirmed its Buy rating and its price target of $120 on General Electric (GE) stock. Recent contracts ($684 million for CH-53K T408 engines up to 27) and orders (300 LEAP-1B MAX-10 for Ryanair) are noted by the analyst.
Copyright (c) 2023 News Bulletin 247. All rights reserved.
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
