PARIS (Reuters) – The New York Stock Exchange opened higher on Wednesday the day after a session of sharp decline due to an unexpected acceleration in inflation in the United States, which could encourage the Federal Reserve to postpone the monetary easing expected by the markets.
About ten minutes after the first exchanges, the Dow Jones index gained 43.28 points, or 0.11%, to 38,316.03 points and the broader Standard & Poor’s 500 increased by 0.39% to 4,972, 7 points.
The Nasdaq Composite takes 0.55%, or 86.62 points, to 15,742.22.
Consumer price statistics in the United States published on Tuesday showed an acceleration in one-month inflation in January to +0.3% after an increase of 0.2% (revised) the previous month, while the consensus was forecasting +0.2%.
“What is most disconcerting is the resumption of inflation almost everywhere, and certainly in the services sector, obviously the most dynamic part of the economy,” says Paul Nolte, a wealth management advisor and market strategist at Murphy & Sylvest.
These inflation figures should constitute a new headache for the Fed in its fight against rising prices, while several officials of the American central bank, such as Austan Goolsbee and Michael Barr, are due to speak during the day.
The probability of a Fed rate cut of at least 25 basis points in May fell to 33.1% from 63% at the start of the week, while that of only easing in June now reaches 78.6%, according to the CME Group’s FedWatch barometer.
On the bond market, investors having digested the inflation figures, the yield on ten-year Treasuries fell by around two basis points, to 4.2946%, after reaching a high of more than two on Tuesday. month, at 4.3320%.
In stocks, Microsoft, Nvidia and Advanced Micro Devices, sensitive to fluctuations in interest rates, rebounded from 0.09% to 1.48%.
In terms of corporate results, Kraft Heinz lost 4.20% after reporting fourth quarter sales below consensus. Airbnb, which lost 5.29%, was penalized for its quarterly net loss of $349 million.
Uber Technologies increases 8.58% after the announcement by the giant of VTC and meal delivery services of a seven billion dollar share buyback plan, while its competitor Lyft soars by 32.47 % after publishing a quarterly adjusted profit higher than forecasts.
Robinhood Markets climbs 14.78% as the online broker reports increased fourth-quarter revenue.
Values linked to cryptoassets like Coinbase Global, Marathon Digital or Hut 8 gain from 9.85% to 12.80% while the capitalization of bitcoin exceeded $1,000 billion for the first time since November 2021, depending on the platform. data form CoinMarketCap.com
*For values to track, click
(Written by Claude Chendjou, edited by Bertrand Boucey)
Copyright © 2024 Thomson Reuters
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.
