The so-called “stock market bloodbath” has continued on Friday with major indices falling down to the lows of the last October. What's going on?
US stock indexes are mixed
On Thursday, US stock indexes were quite mixed at the beginning of the trading session. Market participants were evaluating the statistics and closely watching the development of the situation with tariffs on the import of a number of goods in the United States.
On Thursday, it became known that the expenses of the American population in April 2018 tacked on by 0.6% versus the previous month, and the income of Americans rallied by 0.3%. On average experts expected a jump in expenses by about 0.4%, profits - by approximately 0.3%.
The overall number of US citizens who first applied for unemployment benefits the previous week went down by 13 thousand and accounted for 221 thousand. On average experts expected a dive of 6 thousand, from 234 thousand to about 228 thousand.
In addition to this, the American government is expected to roll out tariffs on European steel as well as aluminum.
The Dow Jones Industrial Average index went down by approximately 0.38% coming up with an outcome of 24573.74 points.
As for Standard & Poor's 500, it went down by 0.19% reaching 2718.8 points.
Besides this, Nasdaq Composite managed to edge up to 0.2% ending up with 7477.01 points.
The price of shares of the chain of discount stores Dollar General headed south by 7.6%, as profit and comparable sales last quarter failed to justify the market's forecasts. Its counterpart Dollar Tree went down about 12% because of dismal reporting too.
The chain of department stores Sears Holdings posted a net loss in the first financial quarter as well as a steep dive in profit, the company's equities went down by nearly 10%.
Equities of car maker General Motors went up by about 11% on news that the Japanese fund SoftBank Vision Fund is on the verge of investing up to $2.25 in its subdivision for the development of self-governing cars.
Besides coronavirus, other news has been driving the stocks of Apple, Wallmart and General Motors to the lower levels.
Will coronavirus continue keeping the markets in fear? What releases should we wait for? Find out in the news!
WTI oil prices jumped up after Donald Trump’s 2 tweets
Today the US nonfarm payroll data will be reported that could cause fluctuations of the market.
WTI was at $20 per barrel just in the beginning of the day. Currently - above 25$.