(Reuters) – The New York Stock Exchange opened without direction on Wednesday following the previous day’s record highs, with investors awaiting a series of economic indicators this week for further clues on the Federal Reserve’s (Fed) rate cut plans. ).
In early trading, the Dow Jones index gained 75.92 points, or 0.19%, to 39,081.41 points, while the broader Standard & Poor’s 500 fell 0.04% to 5,175.23 points. after reaching a record the day before.
The Nasdaq Composite lost 0.27%, or 43.92 points, to 16,221.72.
The New York Stock Exchange opens on a cautious note after Tuesday’s records, as data on consumer prices in the United States in February, slightly higher than expected, did not dampen hopes of a reduction in prices. interest rates by the Fed in the coming months.
Although U.S. inflation remains far from the central bank’s 2% target, Tuesday’s report only marginally affected rate cut expectations, as the U.S. economy remains resilient and the scenario d A soft landing is taking shape.
Traders now see a 66% chance that the first rate cut will come in June, according to CME’s FedWatch tool.
“We are in a very, very short term interest rate driven market, where the overall story is a huge coalescence of expectations of rate cuts (by the Fed, ECB and BoE) around June “, said Kit Juckes, analyst at Société Générale.
Investors are awaiting the release of producer prices in the United States on Thursday, which should provide new insight into inflation in the world’s largest economy.
In values, Tesla fell 1.59% after Wells Fargo lowered its recommendation to “underweight”.
Dollar Tree dropped 12.45%, the group having announced on Wednesday its intention to close 600 Family Dollar Stores during the first half after posting a pre-tax net loss of $1.92 billion in the fourth quarter.
Intel drops 0.86%, the Pentagon having withdrawn from a subsidy project which could have reached 2.5 billion dollars, according to information from the Bloomberg agency.
(Writing by Diana Mandiá, editing by Kate Entringer)
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