PARIS (Reuters) – The New York Stock Exchange opened higher on Tuesday as investors reassessed the U.S. economic outlook as the unwinding of a popular investment strategy put pressure on assets.
In early trading, the Dow Jones index gained 32.64 points, or 0.08%, to 38,735.91 points, and the broader Standard & Poor’s 500 rose 0.38% to 5,205.97 points.
The Nasdaq Composite gained 0.47% or 75.88 points, to 16,275.96.
Markets are rebounding after a sharp decline on Monday, as strong ISM services figures released earlier in the week and several comments from monetary policymakers encouraged traders to reassess the trajectory of the US economy.
In fact, the secondary sector, the main American economic sector, proved more resilient than expected in July and created more jobs than expected.
In addition, Mary Daly and Austan Goolsbee, two monetary policy officials, reassured about the risks of a recession while insisting on the need not to keep rates high for too long.
The rise in the yen nevertheless encourages investors to unwind their carry strategies, financed with the Japanese currency, which could limit the rise in risky assets in the coming days, or even cause them to fall again.
In stocks, Palantir is up 9.51% after raising its annual revenue and profit forecasts for the second time this year on Monday.
(Written by Corentin Chappron, edited by Kate Entringer)
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