Yesterday, three significant stock indexes (Dow Jones Industrial Average, Nasdaq Composite and Standard & Poor’s 500) showed a decline. Dow Jones dropped on Monday, completing the record growth. Nasdaq experienced the most difficult week of 2017, the fall was 1.6%. The third index also closed in the red, having fallen by 0.3% for the week.
All three indexes showed a decline at the beginning of the week primarily due to the fact that investors are selling shares of the companies connected with high technology.
According to MarketWatch, Monday showed a fall of the technology sector index by 0.8%. Apple shares lost 2.5% for Tuesday; shares of Facebook and Microsoft fell by 0.8%.
The oil and gas sector (in contrast to the technological sector) shows the growth, caused primarily by an increase in world energy prices. Capitalization of the giant Exxon Mobil Corp. showed an increase by 1%, the company Marathon Oil Corp. went up in value by 0.6%. At the moment, “black gold” Brent is being traded at $ 48.29 per barrel (the growth amounted to 0.3%), WTI – at $ 46.08 per barrel (a rise in relative figures is 0.6%).
As for the currency market, the dollar is depreciating in anticipation of the Fed meeting, which will be held tomorrow. Experts expect that after the meeting, the value of the base interest rate in the US will increase to 1.25%.
Interesting news for traders is that the shares of General Electric Co. surged by 3.6%. The reason was the news about the retirement of Jeff Immelt, who is the head of the company. The trend for the growth is likely to continue.
The material was prepared with the participation of Marina German,
a leading analyst of the brokerage company CT Trade