Wall Street benchmarks closed in the red despite moving away from lows in recent hours.
Mixed news on virus vaccines, pessimistic US data and fears of less liquidity in the market, due to higher rates, hopes for an American stimulus and the increase in vaccines offer additional support.
The Dow is down 0.38% from the all-time high, the S&P 500 and the Nasdaq are down 0.44% and 0.72%, respectively.
Sustained fears of less funding for equities appear to keep Wall Street down until late. Underlying cautious sentiment could not allow market players to applaud the weakness of the US dollar as they dragged the benchmark indices lower for another day.
That said, the DJIA fell 120 points, or 0.38%, to close at 31,493 points, while the Nasdaq Composite Index came in last with losses of 0.72%, shedding just over 100 points at 13,865. Additionally, the S&P 500 Index also followed suit, cutting 17 points, or 0.44%, to 3,914.
With US unemployment claims marking another disappointment for employment watchers, equities generated another concern, in addition to rising US Treasury yields. that weighed on the benchmarks. It’s worth mentioning that upbeat building permits fought a slump in home starts, while the strong Philadelphia Fed Manufacturing Index failed to placate dollar sellers amid no major positives.
Also on the negative news line for the USD could be the absence of major headlines about US President Joe Biden’s $ 1.9 trillion covid aid package. The Democratic leader was last found cheering on early stimulus market forecasts in his meeting with union leaders.
It is worth mentioning that talks about the resistance of covid strains to vaccines, as well as China’s retaliation towards the United Kingdom and the dislike of the United States for its policies, appeared to have put additional negative pressure on the mood. .
Against this backdrop, US 10-year Treasury yields remained pressured near a multi-month high, while Walmart was the biggest loser for the day after negative fourth-quarter earnings.
Moving on, preliminary activity figures for February will be the key to keep in mind as global policymakers continue to issue signals that the economy needs an extension of the stimulus.
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