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Wall Street in disarray, US growth worries | News Today

Wall Street in disarray, US growth worries
| Breaking News Updates | Fox News

The New York Stock Exchange opened lower on Monday, worried about the slowdown in US growth, illustrated by a bad indicator.

Around 2:15 p.m. GMT, the Dow Jones fell 0.28% to 35,195.12 points, while the Nasdaq index, with a strong technological composition, gained 0.17% to 14,922.13 points. The extended S&P 500 index was almost at equilibrium (-0.02% to 4,470.41 points).

Industrial production fell 1.3% in September in the United States compared to August, while analysts expected a slight increase of 0.2%.

Another sign of a slight slowdown in the US economy after a fiery first half-year, industrial production for the month of August was revised downwards and is now also showing negative (-0.1%) compared to July, against + 0.4% initially announced.

“We don’t want to have inflation at all in an economy that is slowing down,” explained Gregori Volokhine, of Meeschaert Financial Services. “When we say inflation, that’s one thing, but at the same time, because of supply disruptions, consumption is falling…”

As such, company results and statements by managers should provide new information on the current quarter.

“Supply disruptions will pose a problem that we will see more and more because of the coming holidays,” warns the analyst.

After the banks, which held the top bill last week, the distribution will be more varied this week, with from Tuesday, United Airlines, Procter & Gamble and Netflix.

The calendar will, on the other hand, be light on the macroeconomic side, with few indicators on the program.

The results of the red N streaming platform could be a leading indicator of the tech and internet sector, according to Gregori Volokhine. “You may be able to deduce a lot of things not only from Netflix’s results but especially from the reaction to those results. “

According to internal documents reported by the Bloomberg agency, Netflix (-0.35% to 626.10 dollars) estimates that its new series “Squid Games” has generated nearly 900 million dollars in value, an indicator that does not not directly correspond to income.

The video-on-demand service estimates that 111 million subscribers saw at least two minutes of the South Korean series, which was budgeted at just $ 21 million.

Netflix’s competitor so far the best positioned on streaming, Disney lost 2.77% to 171.57 dollars after a lower recommendation by analysts at Barclays, who are worried about lower growth in subscribers to the Disney + platform .

The real estate ad site Zillow unscrewed (-9.92% to 85.55 dollars), weighed down by the temporary suspension of its program of purchases of real estate, intended to be then resold by the company, a booming activity currently in the United States. Zillow intends to take the time to reduce its existing inventory.

The Macy’s department store group soared (+ 7.36% to 25.81 dollars), taking advantage of press information reporting a possible IPO of the online commerce activity of its competitor Saks. According to other press reports, investment firm Jana Partners is encouraging Macy’s to also split its online business from the rest of the group.

Although growth was the focus on Monday, inflation was still in the head, as evidenced by developments in the bond market.

The rate on US government bonds briefly touched 1.62%, against 1.56% Friday and 1.51% Thursday. The tension was even sharper on two-year rates, which reached a high on Monday since the start of the health crisis at 0.44%, as were five-year rates (1.19%).

While the market generally behaved well in October after a turbulent September, Gregori Volokhine expects more chaotic sessions, depending on the results of companies.

Latest News Headlines World news Wall Street in disarray, US growth worries

Remon Buul

Chairman of the board of directors responsible for organizing and developing the general policy of the website and the electronic newspaper, he is interested in public affairs and in monitoring the latest international developments.

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