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NEW YORK (Dow Jones) – After taking a breather the day before, the indices on Wall Street resumed record hunting on Wednesday. New record highs were reached right from the start, before small profit-taking gained the upper hand. US Federal Reserve Chairman Powell provided a brief positive impulse over the course of the year. On the one hand, he described inflation as not currently a problem and again signaled that it would be looser for even longer Monetary policy.
The determining factors in the market were unchanged, the expectation of a trillion dollar stimulus package from the new US government, progress in the Covid-19 vaccination campaign and falling infection numbers as well as good quarterly reports from the companies.
The Dow Jones index gained 0.2 percent to 31,438 points. The S&P 500 fell slightly, the Nasdaq indices fell a good 0.2 percent. The dollar stabilized after the weak Tuesday – as measured by the dollar index. On the bond market, prices rose more sharply, so yields fell, fueled by the moderate inflation data.
According to initial information, there were 1,626 (Tuesday: 1,865) course winners, 1,591 (1,371 course losers and 85 (76) unchanged titles at the Nyse).
In January, US consumer prices rose only moderately, as expected, because they dampened concerns about a more restrictive monetary policy by the US Federal Reserve. The background to this is that, among other things, rising government spending is likely to be accompanied by a stronger rise in inflation.
The lack of chips slows down GM shares
On the corporate side, Coca-Cola (minus 0.2 percent) had to cope with a 5 percent decline in quarterly sales, but that was not as weak as feared. The forecasts were also exceeded in terms of profit.
Under Armor (plus 8.3 percent) expects sales growth in the high single-digit percentage range in 2021 after the sporting goods manufacturer returned to profitability in 2020 and exceeded sales expectations.
General Motors (GM) also exceeded expectations, but the share still lost 2.1 percent. The chip shortage currently affecting many automakers could reduce earnings by $ 2 billion in 2021, GM said. In addition, GM does not want to distribute any dividends for the time being.
There were also business figures from Twitter, Lyft, Cisco Systems and Mattel. The short message service Twitter (plus 13.2 percent) closed a quarter with a turnover of over one billion dollars for the second time in its company’s history. The number of monthly active users increased by 27 percent to 192 million.
The transport service provider Lyft (plus 4.8 percent) performed better in terms of sales than feared. In contrast, Cisco gave 2.6 percent. The technology group beat market expectations, but sales in certain segments were disappointing.
At Mattel (minus 2.1 percent), market participants spoke of profit-taking after good numbers. The share has already tripled since the March low, it was said.
Eli Lilly (plus 1.3 percent) benefited from the fact that the pharmaceutical company in the USA received emergency approval for the use of its Covid-19 drug.
The stock of cannabis company Tilray made another huge leap up, this time by a good 50 percent. A distribution agreement with Grow Pharma for Great Britain on Tuesday caused a lot of price imagination and drew other industry stocks along with it. Canope Growth was up 6.3 percent and Aurora Cannabis was up 21.1 percent.
Platinum at six-year high
For the eighth day in a row, oil prices rose and in phases to 13-month highs after reports of significantly lower US oil stocks.
In the case of precious metals, platinum stood out with a price increase of around 5 percent to its highest level since 2015. In retail, this was justified with a potentially increasing demand as a result of economic stimuli. The catalyst manufacturer Johnson Matthey also provided an impetus, as a result of which the supply deficit for platinum increased last year.
INDEX last +/-% absolute +/-% YTD
DJIA 31,437.80 0.20 61.97 2.72
S&P 500 3,909.88 -0.03 -1.35 4.09
Nasdaq Comp. 13,972.53 -0.25 -35.16 8.41
Nasdaq-100 13,655.27 -0.23 -31.82 5.95
Maturity Yield Bp to VT Yield VT +/- Bp YTD
2 years 0.11 -0.0 0.11 -1.2
5 years 0.45 -2.7 0.48 9.1
7 years 0.79 -2.8 0.82 14.5
10 years 1.13 -2.9 1.16 21.3
30 years 1.92 -3.3 1.95 26.8
Forex last +/-% Wed, 8:27 a.m. Tue, 5:29 p.m.% YTD
EUR / USD 1.2120 + 0.02% 1.2127 1.2096 -0.8%
EUR / JPY 126.82 + 0.08% 126.81 126.58 + 0.6%
EUR / CHF 1.0790 -0.23% 1.0810 1.0809 -0.2%
EUR / GBP 0.8761 -0.12% 0.8779 0.8773 -1.9%
USD / JPY 104.63 + 0.06% 104.54 104.66 + 1.3%
GBP / USD 1.3834 + 0.14% 1.3823 1.3787 + 1.2%
USD / CNH (offshore) 6.4306 + 0.16% 6.4265 6.4243 -1.1%
BTC / USD 44,573.25 -4.96% 46,277.75 46,394.00 + 53.4%
ROHOEL last VT-Settl. +/-% +/- USD% YTD
WTI / Nymex 58.44 58.36 + 0.1% 0.08 + 20.2%
Brent / ICE 61.28 61.09 + 0.3% 0.19 + 18.5%
METALS last previous day +/-% +/- USD% YTD
Gold (spot) 1,842.85 1,838.90 + 0.2% + 3.95 -2.9%
Silver (spot) 27.03 27.30 -1.0% -0.27 + 2.4%
Platinum (spot) 1,245.15 1,181.23 + 5.4% +63.93 + 16.3%
Copper future 3.77 3.72 + 1.3% +0.05 + 7.1%
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DJG / DJN / gos
(END) Dow Jones Newswires
February 10, 2021 4:11 PM ET (21:11 GMT)