(New York) The New York Stock Exchange ended higher on Monday, taking a less pessimistic view of the trajectory of the American economy and making a technical rebound after a difficult week.
The Dow Jones gained 1.20%, the NASDAQ index 1.16%, as did the S&P 500 index.
“The market has sold off enough so far,” said Kim Forrest of Bokeh Capital Partners.
The NASDAQ thus remained on its worst week since June 2022, and the S&P 500 on its worst week since March 2023.
The US employment report released on Friday added another negative touch, reporting fewer jobs created than expected.
But if “the labor market and the economy have lost momentum, which is unpleasant […] “A recession does not appear imminent,” analysts at Oxford Economics said.
After a weekend of digestion, the New York market has found its strength again.
The VIX index, which measures investor anxiety, plunged 13% on Monday, while oil and commodities in general rallied.
The players became bolder and turned away from bonds, which were sought after on Friday because they were considered a safe haven.
The yield on 2-year US government bonds rose to 3.68%, compared with 3.65% on Friday at the close. Bond prices move in the opposite direction to their rates.
Many of the most volatile stocks on the stock market jumped, such as the “miner” (cryptocurrency creators) Marathon Digital Holdings (+9.35%) or Donald Trump’s media group TMTG (+5.50%).
The latter also benefited from new polls more favorable to the former head of state, now showing him neck and neck with the Democratic candidate Kamala Harris.
Pounded last week, microprocessor manufacturers Nvidia (+3.54%), Super Micro (+6.06%) and Marvell Technology (+4.12%) have gained height.
“The scenario of an economy that slows down, but not too much, while inflation decreases seemed almost impossible to maintain, and yet, here we are,” describes Kim Forrest.
Wall Street is expecting this week’s CPI consumer price index on Wednesday, the producer price index (PPI) on Thursday, and the University of Michigan’s monthly survey of consumer sentiment on Friday.
Elsewhere, in the ratings, Apple (+0.04%) did not react to the presentation of the iPhone 16, the first to integrate its new generative artificial intelligence (AI) system with, at the center, an updated version of the Siri assistant.
CFRA’s Angelo Zino said he was disappointed by the lack of price increases for the highest-end versions of the smartphone “and the lack of detail on the deployment of AI.”
Data analytics group Palantir (+14.08%), at the forefront of artificial intelligence, was hailed ahead of its scheduled entry into the S&P 500 on September 23, alongside IT company Dell (+3.81%).
They notably replace American Airlines (+3.89%) and the creation and e-commerce site Etsy (-1.58%).
Boeing paraded (+3.36%) after the conclusion of a new company agreement with the majority union IAMAW, which relieves the market, because a possible strike was looming for the manufacturer in the event of an impasse.