American indices interrupted their height
S & P 500 completed its record climb – whole eight trading sessions in a row index strengthened its position on the background of favorable statistical data and strong corporate reports. This is the longest, record series since 1997. However, the irrepressible rise was supposed to be completed. In October, the S & P 500 index rose by 8.6% compared with last year, which is the maximum indicator for 11 years.
The total overheated of the American market threatened the correction already on Monday, but the turning point occurred on Tuesday. Reducing the S & P 500 index to the area of 4600-4550 p. Now it does not seem something supernatural.
Index values:
NASDAQ Composite: 15886 (-0.6%) S & P 500: 4685 (-0.35%) Dow Jones: 36319 (-0.31%)
On Wednesday morning in derivative financial instruments, a negative trend is traced in derivatives . The S & P 500 futures contract has at the moment lost more than 0.03% of its maximum values and is 4670 p.
Economic events
Production inflation data were expected – producer price index for the year Added 8.6%. However, these values demonstrate the continued price increase in raw materials. On Wednesday, inflation data will be published at the level of 5.8%, which is the highest rate for more than a decade. Data will become decisive for the further strategy of Fedrev. The tightening cycle of the monetary course may begin earlier than 2023.
Corporate segment
At the trading session of the TESLA shares continued their fall, but already on more serious meanings. The cost of paper fell by 12%, continuing Correction. The reason was all the same tweet of Ilona mask with a question whether he should sell 10% of his company’s shares against the background of the proposed tax on wealth in Washington. The value of shares is $ 1023.
The financial sector alsos a correction. PayPal shares fell 10% after reducing the forecast for the year. The company lowered the proceeds forecast and arrived per share for the fourth quarter. The value of shares is $ 205.42.
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