WALL STREET FINISHES DOWN
par Lewis Krauskopf, Devik Jain et Sabahatjahan Contractor
(Archyde.com) – The New York Stock Exchange ended lower on Tuesday as investors watched with concern the latest developments surrounding the conflict in Ukraine, including the announcement by the United States of a ban on imports of Russian hydrocarbons.
The Dow Jones index fell 0.56%, or 184.74 points, to 32,632.64 points.
The broader S&P-500 fell 30.39 points, or 0.72%, to 4,170.70 points.
The Nasdaq Composite fell for its part by 35.41 points (0.28%) to 12,795.55 points.
This is a second consecutive day in the red for Wall Street, after a session sawtooth marked by soaring oil prices.
As part of new measures to increase pressure on Russia and isolate it for its invasion of Ukraine, US President Joe Biden announced today a halt to Russian oil and gas imports, saying have strong bipartisan support in Congress.
At the same time, Great Britain has announced that it will reduce its imports of Russian petroleum products to zero by the end of the year.
Noting that investors were trying to figure out whether to take advantage of the downtrend, Chuck Carlson, director of Horizon Investment Services in Hammond, Indiana, said “people are looking for very short-term changes in momentum “.
So-called defensive sectors, such as healthcare (-2.1%), fell, while the energy sector, which has performed very well since the start of the year, continued to rise (+1.4 %).
In the green, large technology stocks helped limit the decline of the S&P-500.
The barrel of Brent rose above 130 dollars, amplifying concerns about rising inflation and the impact on post-coronavirus pandemic global economic growth.
“There is a great deal of uncertainty right now about the impact this will have on the US economy,” commented James Ragan, senior executive at DA Davidson, noting that rising fuel prices in the United States would fueling consumer caution.
The Ukraine crisis has added volatility to a market already preoccupied with the prospect of the US Federal Reserve (Fed) tightening monetary policy to fight inflation.
On the stock side, Caterpillar jumped 6.8% after Jefferies raised its recommendation to “buy” versus “hold”.
(French version Jean Terzian)