PARIS (Reuters) – American stock markets opened lower on Tuesday on Wall Street, under pressure from data on retail sales that was stronger than expected by the markets.
In early trading, the Dow Jones index lost 100.73 points, or 0.30% to 33,883.81 points and the broader Standard & Poor’s 500 fell 0.73% to 4,341.58 points. The Nasdaq Composite lost 1.12% or 151.85 points, to 13,416.134.
Retail sales in the United States increased by 0.7% last month, against +0.3% expected on average by economists polled by Reuters, after an increase of 0.8% in August.
The robustness of American consumption, despite the Federal Reserve’s rate increases, largely explains the resistance of activity across the Atlantic, and the stronger than expected indicator raises fears that the Fed will maintain its high rates for longer than anticipated by the markets.
Several economic indicators, including the Philly Fed activity index, and more than twenty interventions from monetary policy makers are expected this week, encouraging a wait-and-see attitude.
The markets also remain worried about developments in the conflict in the Middle East, and nervous before the Fed’s next monetary policy meeting in early November.
In stocks, Goldman Sachs fell 0.33% after the publication of its results, which showed a decline in its net profit. Bank of New York Mellon lost 1.89% after the publication of its quarterly results.
Johnson & Johnson fell 0.43%, even though the group raised its profit forecasts for the year.
(Written by Corentin Chappron, edited by Kate Entringer)
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