(New York) The New York Stock Exchange was moving narrowly into positive territory on Monday after having experienced its best week of the year.
The Dow Jones index advanced 0.03%, the technology-dominated NASDAQ gained 0.24% and the broader S&P 500 index gained 0.09% around 9:55 a.m. Eastern time.
“Markets had a strong week after employment data showed a cooling in the U.S. labor market and the Fed appeared to be done with rates,” summarized Art Hogan of B. Riley Wealth Management.
Last week, the Dow Jones advanced 5%, its best weekly performance since October 2022. The S&P 500 jumped 5.8% and the NASDAQ 6.6%, their strongest week in a year.
The slowdown in job creation (+150,000 in October, less than expected), announced on Friday, reassured Wall Street, reinforcing the idea that the American central bank will no longer raise the cost of credit.
“How will the market behave after this best week of the year? asked Patrick O’Hare of Briefing.com. “For now, he is keeping a low profile and protecting himself, trying to maintain his position while seeking to gain ground to recoup the massive losses that began in August,” the analyst added.
Few economic data were on the menu this week as earnings season draws closer to conclusion. Those from entertainment specialists Disney (+0.68% at 9:45 a.m. Eastern time), Wynn Resorts (+1.56%), MGM Resorts (+0.37%), Warner Bros Discovery ( -0.64%) as well as Uber (+0.94%), Lyft (-0.19%) or Roblox (-2.72%).
In terms of indicators, it’s a quiet week with only the first estimate of consumer confidence for November, published by the University of Michigan on Wednesday.
This week, the US Treasury will launch new debt issues, including 40 billion ten-year bonds on Wednesday and 24 billion thirty-year bonds on Thursday.
“That’s a lot of debt to digest,” commented Patrick O’Hare, while rates on ten-year Treasury bonds tended slightly to 4.62% against 4.57% on Friday but remained far from the peak in 16 years reached at the end of October at 5%.
Fed Chairman Jerome Powell will speak at a debate at the IMF on Thursday, while several regional central bank presidents are scheduled to deliver speeches during the week.
Tesla gained 0.80% after press reports indicating that the electric vehicle manufacturer wants to produce a 25,000 euro car from a factory in Berlin.
Car manufacturers fell by more than 1% like Ford and General Motors.
Several regional banks lost up to 1%, like Comerica and Northern Trust.