new York After initially slight losses, the US stock exchanges picked up speed again towards Friday evening. The Dow Jones index of standard values was 0.8 percent higher at 34,553 points. The broader S&P 500 gained 1.16 percent to 4463 points. The price increase was strongest for the Nasdaq tech index – plus 2.1 percent to 14,420 points.
Investors initially focused on the phone call between US President Joe Biden and China’s President Xi Jinping. According to the Chinese state media, in the almost two-hour conversation, Xi appealed to the US President to work together with the People’s Republic for peace in the world.
Xi called for negotiations to end the war in Ukraine. The top priority must be the continuation of talks and the avoidance of a humanitarian catastrophe. The Western defense alliance NATO should start talks with Russia to solve the conflicts behind the war.
“The news isn’t getting any worse, at least, and the market seems to have priced in some worst-case scenarios,” wrote Art Hogan, chief market strategist at National Securities.
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The nervousness remains high in view of the ongoing fighting in Ukraine, said analyst Timo Emden from Emden Research. Hopes for a ceasefire have so far not been fulfilled. “Investors on both sides of the Atlantic are increasingly recognizing that communication between Kyiv and Moscow is a stalling tactic,” said Emden.
Strong gains in Chinese stocks
Commenting on the gains in tech stocks, strategist Rick Meckler of Cherry Lane Investments said, “The bottom seems to be in, the tech sector is so down from its highs that it’s bound to attract people looking for opportunities.” Meta Platforms , Microsoft , Nvidia, Amazon.com and Google-owner Alphabet rose as much as 7.9 percent.
Chinese companies listed on Wall Street were also in particularly high demand. Didi Global was up 59 percent, Bilibili was up as much as 21 percent, Alibaba was up 10 percent. China’s Vice Premier Liu He on Wednesday suggested pro-market government measures.
He also spoke of progress in talks between Chinese and US regulators on US-listed Chinese companies. China had tightened the rules for IPOs of domestic technology companies abroad at the beginning of the year, sending prices in the sector plummeting.
Look at the individual values
FedEx: The logistician’s papers went down significantly after the Deutsche Post competitor fell short of expectations with its profit growth in the quarter. FedEx earned an adjusted $4.59 per share, missing estimates by five cents, even as the delivery service’s revenue beat analysts’ forecasts. FedEx earnings were impacted by labor shortages stemming from the outbreak of the Omicron variant of Covid-19 during the quarter. FedEx closed 4.9 percent down.
GameStop: Shares in the video game maker GameStop, which have long been the focus of speculative transactions by small investors, have meanwhile fallen by more than eight percent – but were up a good three percent at the end of trading. The company posted a quarterly loss.
Moderna: Moderna has applied to the FDA for approval of a second booster dose of its Covid-19 vaccine for adults aged 18 and over. A day after Pfizer and its partner Biontech asked the FDA to allow a second booster shot for people age 65 and older. Moderna gains 6.3 percent. Pfizer up 0.4 percent, Biontech up 5.25.
Boeing: Boeing shares are up more than 1 percent. The aircraft manufacturer has an order for up to 100 BA 737 MAX 10 aircraft from the airline Delta.
More: Buy, sell or sit out? How investment professionals position themselves in times of crisis