(New York) The New York Stock Exchange opened higher on Wednesday, offering itself a little respite thanks to the decline in bond rates and a glimmer of hope in Congress, in the midst of a budget impasse.
Around 9:50 a.m. (Eastern time), the Dow Jones gained 0.04%, the NASDAQ index gained 0.53% and the S&P 500 index gained 0.30%.
For Quincy Krosby, this start of rebound is enabled by the lull on the bond front, after a series of peaks in recent days. On Wednesday, the yield on US government bonds stood at 4.52%, compared to 4.53% the day before at the close.
The 2-year rate, more representative of operators’ expectations in terms of monetary policy, relaxed even more significantly, to 5.07%, compared to 5.12% on Tuesday.
“Furthermore, it appears that Congress may be able to reach a compromise to allow the government to continue operating,” the analyst added.
The two leaders in the Senate, Democrat Chuck Schumer and Republican Mitch McConnell, agreed on a text that would push back the deadline for adopting the new budget to November 17, compared to September 30 for now.
It remains, however, suspended from a very uncertain vote in the House of Representatives, where a schism has been created within the Republican camp.
“The time has come for a rebound for the market, after yesterday which saw the S&P 500 fall below 4,300 points for the first time since June,” explained, in a note, Patrick O’Hare, of Briefing.com.
“It is important that the S&P 500 manages to stay above 4,200 points, which is a crucial technical threshold,” added Quincy Krosby. “If it goes below, it could accelerate the selling trend. » Around 9:50 a.m. (Eastern Time), the index stood at 4,284 points.
On the stock market, the new surge in black gold prices had repercussions on oil stocks, notably ExxonMobil (+1.24%), Chevron (+1.23%) and ConocoPhillips (+2.00%). .
The chain of semi-wholesale stores Costco capitalized (+1.57%) on the publication of a quarterly turnover and net profit higher than expectations. Investors nevertheless noted the slowdown in sales in the United States (+0.2% year-on-year after a dynamic start to the year).
Meta advanced (+0.39%), at the start of a day marked by the Meta Connect conference, from 1 p.m. (Eastern time), during which the group must present several new products, in particular its new Quest virtual reality headset, third of the name.
The toy manufacturer Mattel was on the rise (+3.44%), driven by the buy recommendation from Morgan Stanley analysts, who see the group well positioned in a difficult macroeconomic context.
Despite the breathing of the bond market on Wednesday, several regional American banks remained under pressure, the surge in interest rates forcing them to pay more on their deposits, under penalty of losing part of them to other investments.
Often mentioned during the spring banking crisis, because considered possible weak links in the system, the Arizona brand Western Alliance (-0.11%) or the Salt Lake City (Utah) bank, Zions (- 0.54%), were both in the red.
Boston biotech Ginkgo Bioworks took off (+8.95%) thanks to the announcement of a partnership with the Pfizer laboratory (-0.43%) relating to the development of treatments based on so-called messenger RNA technology. .