Dow Jones closes positive by 56 points, showing signs of lower interest rates – Honsmart

HoonSmart.com>> The Dow Jones Industrial Average closed at 37,305.16 points, up 56.81 points, supported by the Federal Reserve’s promise to cut interest rates. Crude oil prices fell 15 cents, or 0.21%, to close at $71.43 per barrel.

The Dow Jones Industrial Average (DJIA) closed on December 15, 2023 at 37,305.16 points, up 56.81 points, or 0.15%, after volatile trading that set a new intraday record. Because the signal of interest rate cuts in 2024 from the US Federal Reserve (Fed) is still supporting the market.

The S&P 500 index closed at 4,719.19 points, down 0.36 points, or -0.001%.
The Nasdaq index closed at 14,813.92 points, up 52.36 points, or +0.35%.

This week the Dow added 2.9%, the S&P 500 rose 2.5%, and the Nasdaq rose 2.8%. All three major indexes rose for the seventh straight week, with the longest seventh straight week of gains for the S&P 500. Since 2017, price movements can be unusually high due to the simultaneous expiration of futures contracts, stock indexes and options, as well as options. Individual stocks. In a quarter known as the “triple witch,” but comments made by New York Fed President John Williams on Friday said it was too early to talk about interest rate cuts. The Fed still aims to lower inflation to 2%, which has dampened some positive views.

Moreover, the interest rate-sensitive real estate and utilities sectors fell more than 1% after rising this week.
Costco shares rose 4.5% after hitting an all-time high intraday after reporting higher-than-expected first-quarter results. It declared a dividend of $15 per share.

The market rose this week. After the Fed said there would be three interest rate cuts in 2024, boosting investor confidence, trading volume yesterday reached 19.76 billion shares, compared to the 20-day average of 11.8 billion shares. The market was also supported by reports of improved results from the local business activity survey in December. Amid increasing demands and demand for labor, this may help ease concerns about a sharp economic slowdown in the fourth quarter.

S&P Global reported that the preliminary Purchasing Managers’ Index (PMI) for manufacturing and services rose in December to 51.0, the highest level in five months, from 50.7 in November, but the preliminary PMI for manufacturing fell to 51.0.48.2, the lowest level in 4 months from 49.4. In November.

European stock markets close on a positive note as we are still responding to the US Federal Reserve’s signal about starting to cut interest rates next year. Although the rally weakened after the European Central Bank (ECB) adopted a tougher monetary policy tone compared to the Fed.

European Central Bank President Christine Lagarde dismissed expectations of a rapid shift towards accommodative monetary policy after the European Central Bank decided to keep interest rates unchanged on Thursday.

Investors are still concerned about the economic situation. After data was reported from several countries in November, French inflation fell by 0.2% month-on-month and rose by 3.5% year-on-year. Data show that private sector activity in France and Germany deteriorated from the previous month. As a result, the entire year contracted deeper due to lower demand for goods and services.

Preliminary December PMI for the manufacturing and services sectors. The euro zone index fell to 47.0 from 47.6 last month, while economists expected it to rise to 48.0. The manufacturing PMI remained at a six-month high of 44.2, but below expectations, while the services PMI fell, lower than expected, and remained at 48.1.

The German Central Bank (Bundesbank) lowers its economic growth forecasts. Economic activity is expected to recover slightly after a contraction in 2023. Calendar-adjusted real GDP will rise just 0.4% in 2024 after falling 0.1% this year, down from 0.1% this year, which was previously forecast in June. Expanded 1.2%. Next year.

Shares of H&M, the world’s second-largest fashion company, fell 0.4% after announcing that local currency sales in the September-November period fell by 4%, the largest decline since the third quarter of 2022.
The STOXX 600 index closed at 476.61 points, up 0.04 points, or +0.01%, and rising for the fifth week in a row, which is the longest since April.
The London Stock Exchange FTSE 100 index closed at 7,576.36 points, down 72.62 points, or -0.95%.
The French Stock Exchange CAC-40 index closed at 7,596.91 points, up 21.06 points, or +0.28%.
The German DAX stock market index closed at 16,751.44 points, down 0.79 points, or -0.005%.

West Texas Intermediate crude for January delivery fell 15 cents, or 0.21%, to close at $71.43 a barrel. Meanwhile, the price of Brent North Sea crude for February delivery fell by 6 cents, or 0.08%, to close at $76.55 a barrel.