The Dow fell more than 100 points today, pressured by the inverted yield curve in the bond market. While short-term bond yields rebounded above long-term bonds. which indicates the trend of an economic recession
At 8:48 p.m. Thai time, the Dow Jones Industrial Average stood at 34,653.76 points, minus 164.51 points or 0.47%.
However, Twitter’s share price Inc. jumped more than 23% opposite the market after data from the US Securities and Exchange Commission (SEC) showed Tesla Inc. CEO Elon Musk had a stake in Twitter. 73,486,938 shares or 9.2% of the company’s total shares
holding of such shares which totaled $2.89 billion. If calculated from the closing price on Friday This made Mr. Musk the largest shareholder outside the company Twitter.
It is worth noting that Mr. Musk has increased his stake on Twitter. Although he only criticized the company two weeks ago for violating the basic principles of free expression.
Looking at the 1Q12 U.S. stock market rally, the Dow and S&P 500 were down 4.5% and 4.9% respectively, while the Nasdaq sank more than 9%, the worst of the three by comparison. Quarterly since March 2020 which at that time covid-19 is starting to spread in the United States.
However, the stock market still had good news in April. Past statistics indicate that the market tends to rise in April. which is second only to the month of December only A survey of the past 20 years found that US stock markets rose an average of 2.41% in April.
Statistics also indicate that December was the month when the US stock market rose the most. This is positively influenced by the “Santa Rally” phenomenon, which usually takes place for seven business days, occurring during the last five working days of the current year, including the first two days of the new year.
Statistics also show that September was the worst month for the S&P 500 index of the year. Since 1945, the S&P 500 has lost an average of 0.56% that month.
The US bond market continued its inverted yield curve today, before the Federal Reserve released its March meeting minutes on Wednesday.
The two-year US Treasury yield rose to 2.432 percent today, while the three-year US Treasury yield rose to 2.61%, while the five-year Treasury yield rebounded to 2.61%. The yield was higher than the 10-year bond, which was 2.397%, while the 30-year bond stood at 2.467%.
Earlier, the US bond market experienced an inverted yield curve on Friday. After the United States revealed lower-than-expected employment numbers. Short-term bond yields rebounded above long-term bonds. which indicates the trend of an economic recession
Investors are worried the US economy will be hurt as the Fed continues to ramp up interest rates to curb inflation. Even the US revealed lower-than-expected employment numbers.
Previously, a spike in yields on 5-year US Treasury bonds above 30 years occurred in 2006, just a few years before the global financial crisis hit.
In the past, the inverted yield curve was often caused by investors selling short-term bonds. and buy long-term bonds Amid concerns about the economic situation in the short term
