by Chibuike Oguh and Bansari Mayur Kamdar
NEW YORK (Reuters) – The New York Stock Exchange ended lower on Thursday, during a session marked by the historic level reached by the Dow Jones before falling back, data showing a slowdown in inflation having fueled a time hopes of a rate cut, in addition to strong quarterly corporate results.
The Dow Jones index fell 0.10%, or 38.62 points, to 39,869.38 points.
The broader S&P-500 lost 11.05 points, or 0.21%, to 5,297.10 points.
The Nasdaq Composite fell 44.07 points (0.26%) to 16,698.32 points.
The Dow Jones reached a historic milestone by exceeding 40,000 points, far from the low experienced in October 2022, in a context of growth in the American economy despite the high interest rates put in place by the Federal Reserve (Fed) for control inflation.
He finally saw his gains erased, along with the S&P-500 and the Nasdaq, at the end of a seesaw session.
“The current environment seems to be focused on what the Fed might or might not do, given that we started the year anticipating that the Fed might make six rate cuts, an assumption recently revised downwards, with a or two expected cuts,” commented Silas Myers, managing director of Mar Vista Investment Partners in Los Angeles.
According to FedWatch data, investors are now banking on two 25 basis point cuts this year.
Wall Street’s three main indexes hit closing records on Wednesday after the publication of a report showing a smaller than expected rise in consumer prices in the United States in April, suggesting that inflation was once again on the rise. fallback.
Data released Thursday indicate that the number of weekly jobless claims in the United States has fallen, even as the growth in the number of job openings slows.
“The more information we have showing a slowdown in inflation and, at the same time, resilience in employment, the more conducive it is to supporting stocks or even initiating increases such as seen over the last two days,” Silas said. Myers.
Almost all major sectors of the S&P-500 ended the session in the red.
On the value side, among the movements to note, the increase of almost 7% in Walmart after the retailer raised its sales and profit forecasts for the new fiscal year.
Conversely, Deere fell 4.7% following a further downward revision of its annual profit forecast. GameStop and AMC Entertainment, part of the so-called ‘meme stocks’, plunged.
(Written by Jean Terzian)
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