Dow closes 384.57 points lower, banking stocks drag market : InfoQuest

The New York Dow Jones Stock Exchange closed nearly 400 points lower on Friday (March 17) as investors sold stocks. Amid concerns about the crisis in the banking sector and the possibility that the US economy will go into recession

  • The Dow Jones Industrial Average closed at 31,861.98 points, down 384.57 points or -1.19%.

  • The S&P500 Index closed at 3,916.64 points, down 43.64 points or -1.10%.

  • The Nasdaq Index closed at 11,630.51, down 86.76 points, or -0.74%.

in this week The Dow fell 0.1%, the S&P 500 rose 1.4% and the Nasdaq rose 4.4%.

All 11 stocks of the S&P500 closed in negative territory, with the financial sector losing the most.

Investors are worried about another crisis in the banking sector. Silicon Valley Bank’s (SVB) parent company SVB Financial Group (SVB) filed with a New York court for a Chapter 11. bankruptcy receiver

Investors fear the bankruptcy of SVB and Signature Bank. Bank of the United States in the past week. It will affect the global banking system and the concern has spread to Europe. Shares in Credit Suisse fell on concerns about the bank’s liquidity problems. This prompted policy makers to rush in to help build confidence in the market.

Over the past two weeks, the S&P Banking Index and the KBW Regional Banking Index have lost 4.6% and 5.4%, respectively, the worst two-week declines since March. 2020

Shares of First Republic Bank (FRB), a US regional bank, sank 32.8% after the bank announced it was suspending dividend payments. Although the major banks in the United States have announced to inject a total of $ 30 billion or about 1 trillion baht to increase liquidity for the FRB.

Pacwest Bancorp fell 19.0 percent and Western Alliance shed 15.1 percent, while US-traded Credit Suisse closed down 6.9 percent.

On the other side was FedEx Corp, which rose 8% after the company raised its revenue forecast for the current financial year.

Investors are now focusing on the Federal Reserve’s monetary policy meeting next week.

The CME Group’s FedWatch Tool indicates that 60.5% of investors are tipping the Fed to raise interest rates by 0.25% to a range of 4.75-5.00% at its March 21-22 meeting, and 39.5% are tipping no interest rate hike.

By InfoQuest News Agency (18 Mar. ’23)

Tags: Dow Jones , New York Stock Exchange

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.