The Dow Jones Industrial Average closed down nearly 500 points on Tuesday (June 28) as investors sold the stock broadly. After it was reported that the US consumer confidence index fell sharply. Amid concerns about inflation and a recession
The Dow Jones Industrial Average closed at 30,946.99, down 491.27, or -1.56%, the S&P 500 closed at 3,821.55, down 78.56, or -2.01%, and the Nasdaq closed at 11,181.54, down 343.01, or -2.98%.
in the beginning New York Stocks Rise on News China Announces Relaxation of Covid-19 Control Measures But then the market fell into negative territory. After a survey of the Conference Board, an economic research institute, stated that The Consumer Confidence Index dropped to 98.7 in June, its lowest level since 2013, and below analysts’ expectations of 100.0 from 103.2 in May. Consumers are concerned about inflation and a slowdown in the US economy in the second half of this year.
The US Consumer Confidence Index is a survey of consumer perspectives. and confidence in the current economic situation and during the next 6 months, personal finances and employment
Retail stocks fell after the survey’s results were released. Target was down 3.40 percent, Lowe’s was down 5.13 percent, Walmart was down 1.38 percent, Home Depot was down 4.41 percent and Best Buy was 4.56 percent.
Consumer and luxury stocks also fell. Procter & Gamble (P&G) was down 1.56%, Coca-Cola was down 0.97%, Kimberley-Clark was down 0.79%, and Ralph Lauren was down. Nike shares were down 6.98 percent, while Bath and Body Works shares were down 5.75 percent.
Technology stocks and chipmakers all plummeted. Amazon was down 5.14 percent, Microsoft was down 3.17 percent, Netflix was down 5.04 percent, Alphabet was down 3.3 percent, India was down 5.26 percent, and Advance Micro Di was down 5.3 percent. Weiss (AMD) sank 6.24 percent, Intel shares were down 2.2 percent.
However, tourism and casino stocks rebounded. After China announced the quarantine period for foreign tourists in government-prepared places to seven days from 14 days, home quarantine has been reduced to three days from seven days by easing the measures. The remarks came after the cities of Shanghai and Beijing succeeded in curbing the spread of COVID-19.
Las Vegas Sands was up 4.04 percent, Wynn Resorts was up 3.15 percent and Melco Resorts & Entertainment was up 5.11 percent.
Investors are eyeing the release of the United States’ quarterly gross domestic product (GDP) figures today. which will be the last estimated number In its first projection, the US Commerce Department reported a 1.4% decline in GDP, and a 1.5% contraction in the second estimate.