The New York Dow Jones Stock Exchange closed on Wednesday (January 18), with the Dow and the S&P 500 each plunging nearly 2%, their steepest one-day declines in more than a month, as weak economic data for the Stock Exchange New York The United States sent investors worried about a recession Markets were also under pressure from Federal Reserve (Fed) officials urging the Fed to continue raising interest rates.
The Dow Jones Industrial Average closed at 33,296.96 points, down 613.89 points, or -1.81%, the S&P 500 closed at 3,928.86 points, down 62.11 points, or -1.56%, and the Nasdaq closed at 10,957.301, down 10,957,301, or – 24 points. %.
New York stock market falls after weak US economic data According to US Commerce Department. Retail sales fell 1.1% in December, worse than the 0.8% drop expected by analysts, due to the impact of declining car sales. Including the drop in gasoline prices. which affects gas station sales
While the US Department of Labor revealed that the Producer Price Index (PPI), which measures inflation on producer spending, rose 6.2 percent in December from a year earlier. That was below analysts’ expectations of 6.8%, and the Federal Reserve said overall US industrial production fell 0.7% in December after falling 0.6% in November.
Michelle Reynolds, an analyst at Glenmede, said investors were worried about the latest statements. The Fed tries to control inflation by exercising tight monetary policies. Puts the economy at risk of going into recession.
The market is also under pressure from Fed officials. This includes St. Louis Fed President James Bullard. and Loretta Mester, president of the Cleveland Fed. The statement emphasized the need for the Fed to raise interest rates above 5% in order to bring inflation back to target.
All 11 stocks in the S&P 500 ended in the negative, with the consumer goods index losing 2.65 percent and the utilities index losing 2.41 percent, with Procter & Gamble down 2.69 percent and Coca -Cola fell 3.02 percent, Kimberley-Clark shares fell 2.97 percent, and PG&E Corporation stock fell 1.64 percent.
Moderna shares rose 3.32% after Moderna released trial results of its mRNA vaccine against respiratory virus (RSV), which found the vaccine to be 83.7% effective. To prevent at least two symptoms of illness, such as cough and fever In adults Age 60 and over, the RSV virus causes cold-like symptoms. But it can be fatal for young children and the elderly.
