With mixed signs, but also new records, the session on Tuesday (11/6) closed on Wall Street, as Apple’s earnings led to a rise in the S&P and Nasdaq.
In particular, Mr Dow Jones lost 0.32% to 38,747.42 points, while the S&P 500 gained 0.29% to 5,376.12 points and the Nasdaq Composite gained 0.88% to 17,343.84 points. Both the S&P 500 and the Nasdaq closed at record highs.
Although Nvidia stock fell 0.71% in a profit-taking move, the Apple which recently unveiled new artificial intelligence features that will soon be built into iPhones, jumped 7.25%, surpassing the record price hit last December.
The Federal Reserve began its two-day meeting, which will end on Wednesday, with the announcement of the decision on the path of interest rates and the press conference with the chairman of the Federal Reserve, Jerome Powell.
Although some indicators show signs of an economic slowdown, investors are increasingly worried that this will not be enough to encourage the US central bank to cut interest rates within 2024.
Marko Kolanovic, chief strategist at JPMorgan, warned that the chances of a rate cut decreased after the May jobs report. “We have seen reduced prospects for easing this year and now expect the Fed’s first tapering in November,” he wrote.
Futures show no chance of a rate cut this week, according to CME’s FedWatch Tool. Investors estimate the probability of a rate cut in November at 66%.
“In general, the market is starting to prepare for a less dovish message from the Fed – not necessarily that it will raise rates, but that it will take longer to cut rates,” said Bill Merz , head of capital markets research. . of US Bank Wealth Management.
As he said, the main focus of the markets in this session is the dot plot and the summary of the Fed’s economic forecast. On Wednesday, before the Federal Reserve’s decision, investors are also looking forward to reading the consumer price index for May.
Oil continues to rise
Oil prices closed in positive territory on Tuesday, extending their strong gains, after the US Energy Administration (EIA) revised its 2024 demand estimates.
Specifically, the July delivery contract for US WTI strengthened by 0.2% to $ 77.90 a barrel, while the Brent contract for August delivery gained 0.4%, closing at $ 81.92 a barrel. gun.