Nasdaq chasing records – investors sell travel stocks for it

Frankfurt The US stock exchanges closed inconsistently at the beginning of the week. The Dow Jones index of defaults went 0.1 percent higher to 35,619 points from trading. The technology-heavy Nasdaq, however, lost 1.3 percent to 15,854 points. The broad S&P 500 lost 0.3 percent to 4682 points.

In early trading, US exchanges received positive impetus from China, where the central bank had signaled monetary easing measures to support the recovery of the domestic economy.

The prospect of continuity at the top of the US Federal Reserve initially fueled US investors’ appetite for records. US President Joe Biden nominated Fed Chairman Jerome Powell for a second term on Monday. The director Lael Brainard, who is also a candidate for the executive chair, is to receive a deputy post.

In late trading, however, sales began. For fear of a slowdown in the economy in the face of possible pandemic restrictions, investors only touched European stocks with the tip of their fingers.

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After the decision, investors turned their attention to the December meeting of the Fed and whether the pace of slowing down bond purchases would be increased, said Matt Weller, strategist at Forex.Com broker.

Papers from the major US banks are in demand

Above all, the papers of the major US banks were in demand. According to stockbrokers, choosing Powell was seen as a cheaper choice for the financial sector. Brainard, unlike him, would have cracked down on banks by regulating and controlling mergers and acquisitions, said dealer RJ Grant of the finance house Keefe, Bruyette & Woods. In addition, investors speculated on interest rate hikes in the coming year. Wells Fargo stocks were among the biggest winners, gaining 3.7 percent.

Many technology stocks have suffered from profit-taking, according to traders. Speculations arose that the recent sharp rise was fueled by covering short positions and was exaggerated, it said. The shares of the apartment broker Airbnb lost 7.5 percent. Those of the fitness equipment specialist Peloton lost 6.5 percent, those of the transport operator Lyft 4.3 percent and those of the photo app provider Snap 4.0 percent.

The gold price came under pressure, which fell by a good two percent to $ 1805. The dollar index, which measures the US currency against other major currencies, climbed to 96.30 points and was not higher than it has been since July 2020.

Look at individual values

Apple: A positive analyst vote helped Apple at times to a record high of $ 165.70. In the end there was an increase of 0.3 percent. JP Morgan anticipates possible improvements in iPhone 13 shipments in the coming months.

Tesla: Shares in the electric car maker rose 2.8 percent. CEO Elon Musk had announced via Twitter that the Model S plaid “probably” should be available in China around March.

Astra Space: The title of the satellite transporter start-up was soaring. At the weekend, the US company succeeded in launching its first rocket into orbit. The shares took off by more than 35 percent.

Moderna, Biontech: The papers of the corona vaccine manufacturers Biontech and Moderna benefited from attractive booster vaccination campaigns and gained eleven and seven percent respectively. The papers of the Biontech partner Pfizer rose by 0.8 percent.

Vonage: Vonage went up 27 percent to $ 20.79. The Swedish network equipment supplier Ericsson wants to swallow the cloud telephony provider for 21 dollars per share in cash. It would be the largest acquisition in the company’s history to date.

More: Twelve stocks that investors can use to invest in the future.

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