The record high sales at Tesla are also driving up the share prices of competitors.
(Photo: Reuters)
Frankfurt, New York The Dow Jones index of standard values climbed a new record high for the second day in a row, but then turned into the red. Shortly before the close of trading, it was quoted 0.7 percent lower at 36,553 meters.
Investors repositioned themselves in the evening after the minutes of the latest Fed meeting were released. According to the minutes, central bank members noted that it might be justified to raise key interest rates earlier or at a faster pace than previously expected.
Technology stocks came under pressure again on Wednesday. The index of the technology exchange Nasdaq Composite fell by around three percent. Heavyweights like the Google group Alphabet fell by around four percent. The share of the Facebook parent company Meta fell by more than two percent. Microsoft papers lost more than three percent in the course of trading.
The broader S&P 500 index temporarily lost 1.5 percent on Wednesday. Citigroup analysts believe that the S&P 500 index will grow further this year. They assume that the index will break the 5000 point mark for the first time and will reach 5100 points by the end of the year. In October they had forecast 4900 points for the end of 2022. On Tuesday the stock market barometer closed at 4793 points. In 2021, the S&P 500 had gained around 27 percent.
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In their research report published on Wednesday, the experts named strong financial results for companies as the reason for the growth expected in 2022. The companies in the S&P 500 had already exceeded analysts’ expectations last year. “Despite the corona pandemic and problems in the global supply chain, the upcoming quarterly reporting season and the companies’ forecasts for 2022 should form the basis for further growth,” said Citigroup analyst Scott Chronert with conviction.
The US private sector created more than twice as many jobs as expected in December prior to the spread of the Omicron variant of the coronavirus. The bottom line was that there were 807,000 new jobs, according to the survey published by the recruitment agency ADP on Wednesday. That is the biggest plus since May 2021.
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“The job market stabilized in December as the effects of the Delta variant subsided and the consequences of Omikron were not yet to be seen,” said ADP chief economist Nela Richardson. The large companies in particular increased their workforce: they accounted for almost half of the job growth at the end of the year. More and more jobs were hired in all sectors, from industry to construction to service providers such as hotels and restaurants. “The job growth has been broad,” said Richardson.
Experts polled by the Reuters news agency expect the number of jobs outside of agriculture to rise by 400,000 in the US government’s official labor market report for December due on Friday, after a plus of 210,000 in November.
Further individual values in focus
Pfizer: The drugmaker’s shares rose more than two percent at times after Bank of America upgraded the stock from “neutral” to “buy”. The upgrade is based on factors such as the launch of the oral Covid-19 pill Paxlovid and significant investments in the pipeline. In addition, Pfizer signed a new cooperation agreement with its German partner Biontech to develop an MRNA-based shingles vaccine. Biontech papers, on the other hand, gave way slightly.
Nikola: The logistics company USA Truck wants to buy ten electric trucks from Nikola. For this reason, the share initially rises, but then turned into the red with the overall market. Separately, Nikola dropped a $ 2 billion patent lawsuit against Tesla. The electric automaker sued Tesla in 2018, accusing the rival of copying several of its designs.
Sony: The company announced plans to create an electric vehicle division and unveiled an off-road vehicle prototype at the Consumer Electronics Show in Las Vegas. The shares rose slightly in the course of trading.
Adobe: The software manufacturer’s share slipped by around seven percent in the meantime. The major Swiss bank UBS had downgraded the share from “buy” to “neutral”.
More: These eight stocks are the bearers of hope for the stock market year 2022.