Dow Jones is the second consecutive rise, the pressure on the Nasdaq continued

The Dow Jones closed lower on Tuesday, completing two consecutive uptrends, while the broader S&P 500 also gained ground, after continuous sign exchanges. The technology Nasdaq recorded losses as the latest rally in US bond yields dampened the attractiveness of “growth stocks”.

The 10-year US yield has climbed close to a month high as the Federal Reserve is expected to move faster in the coming months to tighten its policy, following the reinstatement of Jerome Powell at the helm of the central bank and the statements of the central bank. banker on the corrosive impact of inflation on the US economy and households.

Powell also vowed that the central bank would use all its tools to support the economy, but also to prevent high inflation. These statements, as well as recent White House actions to de-escalate energy prices – the key driver of the inflation rally – by releasing oil from the country’s strategic reserves, reinforce speculation that the Fed could in 2022 to move more aggressively to raise its interest rates. Investors are currently expecting the central bank to double its interest rates in 2022 from their all-time low today.

Bond yields, meanwhile, continue to climb, with the 10-year yield gaining 6 basis points at 1.68%.

Indicators – Statistics

On the board, the industrial Dow Jones gained 194.55 points or 0.55% and closed at 35,813.80 points, while the broader S&P 500 added 7.76 points or 0.17% to 4,690.70 points. The technology Nasdaq fell 79.62 points or -0.50% to 15,775.14 points.

Of the 30 stocks that make up the Dow Jones industrial average, 20 closed with a positive sign and 10 with a negative. The biggest gains were made by Goldman Sachs Group with gains of $ 10.18 or 2.57% at $ 406.34, followed by JPMorgan Chase at $ 168.28 with an increase of 2.39% and UnitedHealth Group at 447. $ 13 with gains of 2.19%.

The biggest losses were recorded by Walt Disney (-2.03%), Salesforce.com (-1.83%) and Intel (-1.46%).

At the end of the day, data released today by IHS Markit showed that private sector activity continued to grow strongly in November despite a slight slowdown since October.

In particular, the composite PMI rose to 56.5 points in November from 57.6 points in October, as rising prices, supply chain disruptions and the inability to fill job gaps continue to limit economic activity.

In the individual data, the index for the services sector was at 57.0 points from 58.7 points in October, a two-month low, while the manufacturing PMI at 59.1 points from 58.4 points last month, a two-month high.

“The US economy continues to grow rapidly,” said Chris Williamson, chief economist at IHS Markit. “Despite the slower pace of business expansion in November, growth remains above the long-term average of pre-pandemic research, as businesses continue to focus on boosting their capacity to meet growing demand.”

Investors are also monitoring oil prices after the White House announced plans to release 50 million barrels of the country’s strategic reserves in coordination with other countries. The WTI jumped 2.3% today in the wake of the announcements, as investors wait to see how OPEC and its allies (OPEC +) react. OPEC + may adjust its output in response to the release of strategic stocks.