[3분증시] New York stock market mixed at consumer price announcement… Nasdaq 1% ↑
This is the ‘3 minute stock market’, time to look at the world stock market and our stock market.
Yonhap Infomax Reporter Kwon Yong-wook is here.
First of all, let’s sort out the US stock market last night.
Yes, last night the New York stock market closed mixed, digesting the April Consumer Price Index announcement.
Looking at the closing price, the Dow is down 0.09% from the battlefield.
The S&P500 index rose 0.45% compared to the battlefield, and the Nasdaq index rose 1.04% each.
According to the US Department of Labor, the Consumer Price Index (CPI) rose 4.9% in April from the same month last year, below the 5% increase set by analysts and a record set for March.
This was also the lowest rate of increase in the last two years.
Excluding volatile energy and food and drink prices, core inflation rose 5.5% year-on-year, in line with market expectations.
Core inflation shows the underlying price trend by removing items with high volatility.
The rate of increase in US CPI has slowed to around 5% from around 9% in June last year, but is still well above the Fed’s target of 2%.
Still, after the release of this indicator, the probability that the Fed will keep rates unchanged at its next meeting is more than 90%.
Overnight, US Treasury yields also fell.
This was because bond markets were eased as inflationary pressures eased.
Meanwhile, I’m told that yesterday’s debt ceiling talks between the White House and the Republicans ended without a conclusion.
President Biden met with reporters after the meeting and said, “I made it clear that defaulting on America’s debt is not an option,” and “I am absolutely certain that the default can be avoided.”
Yes, attention is focused on the Fed’s move after the inflation index is published.
How do the experts see it?
Yes, experts have evaluated that inflation has entered a slowing trend, although not as fast as the Fed had expected.
It is therefore unlikely that the Fed will raise interest rates further.
However, many pointed out that the expectation of a rate cut within the year, held by some in the market, was premature.
With inflation still far from the Fed’s 2% target, the expectation was that the Fed would remain hawkish for now and focus on each statement.
Then, experts observed, if inflation or employment data show strong growth, the Fed could start raising interest rates.
Last night, the Nasdaq index which focuses on technology stocks rose somewhat significantly.
Yes, US bond yields fell overnight, eased by inflation indicators.
Technology stocks that are sensitive to interest rates increased, helped by falling interest rates.
In particular, the share price of Google’s parent company Alphabet rose more than 4% as Google unveiled its artificial intelligence chatbot ‘Bard’ to the world.
Apart from Google, Apple and Microsoft all jumped more than 1%.
Amazon jumped more than 3% overnight as it climbed for a seventh straight trading day.
Shares in electric vehicle maker Rivian rose more than 1% on news that losses were smaller than expected.
Finally, note today’s KOSPI outlook.
Yes, the KOSPI fell yesterday amid caution over the US debt ceiling discussions and inflation indicators.
The index was trading around 2,497.
Today, the KOSPI summarizes the contents of the US consumer price index and is expected to start from a strong rebound.
In particular, as US technology stocks rise all at once, the domestic stock market may also see a buying trend mainly in related industries.
Stock market #New York #user price #nasdaq #kospi #stock market 3 minutes
Yonhap News TV article inquiries and reports: Kakao Talk/Line jebo23