Wall Street ends mixed on Tuesday ahead of the inflation gauge

(New York) The New York Stock Exchange ended mixed on Monday, playing subdued on the eve of the release of a key inflation indicator that favored portfolio rotations.



The Dow Jones gained 0.12%, the NASDAQ fell 0.41% and the broader S&P 500 lost 0.11%.

“The market is a little tense ahead of the February report” on the CPI price index, which will provide fresh data on the trajectory of US inflation on Tuesday, explained Briefing.com’s Patrick O’Hare.

“He wants to ensure that the unpleasant January surprise does not happen again,” the analyst added. In the first month of the year, the index was 2.9% above the forecast, year-on-year at 3.1%.

Economists predict that it will be stable in February.

The bond market also showed jitters and rates rose. The yield on 2-year U.S. Treasury notes, the most representative of what traders expect from U.S. monetary policy, climbed to 4.53% from 4.47% at Friday’s close.

In addition to the close of the indicator, New York stocks were affected by the consolidation movement, which especially affected the stocks that performed the best since the beginning of the year.

Rating star, semiconductor specialist Nvidia, fell significantly for the second time in a row (-2.00%).

Microsoft (-0.42%), Amazon (-1.93%) and Meta (-4.42%) were also sold among the “Magnificent Seven,” the seven stocks that have powered Wall Street all year.

On the contrary, the last three members of the club Apple (+1.18%), Tesla (+1.39%) and Alphabet (+1.94%), which they avoided for several months, finished in the green.

Aside from these giant caps, “the market as a whole has held up well,” noted Patrick O’Hare.

“We’re seeing rotation,” he added. “That’s the sign of a bull market.” The money is reallocated to other securities rather than leaving the stock market.

Illustrating this momentum, the venerable Dow Jones outperformed the NASDAQ on Monday, thanks to health insurer UnitedHealth (+2.64%), equipment maker Nike (+1.94%) and oil company Chevron (+1.41%) .

Another strong indicator, the equal-weighted S&P 500 (each stock has equal weight in the index), was up.

Disney (+1.80%), cable operator Comcast (2.25%) and PepsiCo (+1.03%) all gained ground.

Regional lender New York Community Bank (NYCB) continued its second decline (-4.97%) after surging after Wednesday’s billion-dollar recapitalization announcement and remains fragile.

Choice Hotels Group rose (+5.57%) after officially relinquishing control of its rival Wyndham Hotels (+2.42%). When its offer expired, Choice said it had not received enough securities to complete its operation and would return the shares it had been given.

Despite the rise of Bitcoin, which hit a new record high of $72,880 on Monday, the values ​​of the cryptocurrency sector were swept away by consolidation, such as exchange platform Coinbase (-0.95%) or “miner” (creator of digital currency) Riot Platforms (-4.62 %).

Ford was sanctioned (-0.57%) after announcing a settlement to end civil litigation over tax evasion allegations in exchange for $365 million in compensation.

Boeing lost altitude (-3.02%). THE The Wall Street Journal announced Saturday the opening of a Justice Department investigation into the January 5 incident in which a door dislodged on an Alaska Airlines 737 MAX 9 flight.

The stock market in Toronto is falling

Canada’s main stock index closed modestly higher after retreating earlier in the day on Monday, while U.S. markets had a mixed session.

The S&P/TSX composite index gained 31.69 points to 21,769.22.

In New York, the Dow Jones industrial average rose 46.97 points to 38,769.66. The S&P 500 fell 5.75 points to 5,117.94, while the NASDAQ Composite dropped 65.84 points to 16,019.27.

The Canadian dollar was trading at 74.12 US cents, up from 74.23 US cents on Friday.

On the New York Mercantile Exchange, crude oil fell eight cents to $77.93 a barrel and natural gas fell five cents to $1.76 a million BTU.

Gold prices rose $3.10 to $2,188.60 an ounce and copper rose four cents to $3.93 a pound.

Canadian Press

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