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?
Wall Street concludes multidirectionally
On Tuesday, the US stock market concluded the trading session multidirectionally, while concern over sluggish demand for smartphones applied pressure on the technology sector and also pushed Nasdaq down. However, investors' optimism as for corporate reports helped to avert more significant losses.
The decline in shares of technology companies put pressure both on the S&P 500 and the Nasdaq. Paper chips manufacturers dived after the world's number one manufacturer of semiconductors, Taiwan Semiconductor Manufacturing Co Ltd lowered the target annual revenue because of the weakening demand for smartphones.
On Monday, the revenue on the US Treasury's ten-year bonds reached a maximum from January 2014 amid worries about an increase in the supply of government debt as well as acceleration of inflation.
Financial markets are definitely intimidated by such dynamics in the bond market, as some financial analysts pointed out.
Analysts expect that the revenues of companies included in the S&P 500 index for the first quarter tacked on by 20% year on year. It would be the maximum surge for seven years.
Equities of Alphabet, the parent company of Google, moderately gained in volatile trading after the close of the official exchange session. Additionally, the company reported a profit surge of 73% in the first quarter.
This week's quarterly outcomes will be released by some of the largest companies in the technology sector, including Facebook Inc, Microsoft Corp, Amazon.com Inc as well as Intel Corp.
At the close of the New York Stock Exchange, the Dow Jones index headed south 0.06% hitting 24,448.69, the S&P 500 index inched up 0.01% coming up with 2,670.29, while the Nasdaq Composite index lost 0.25% being worth 7.128,60.
Six of the 11 major industry indices S&P 500 concluded the session in positive territory, and the leader of growth was the index of the telecommunications sector.
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!
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