US Market Positive After Encouraging Economic Data

Wall Street opens positive after inflation data

(Telestock) – Positive session on Wall Street, which is preparing to end the week with a sharp risewith investors’ attention remaining on macroeconomic data to understand what decision the Federal Reserve will make next month.

Before the bell, it emerged that the new home construction in the United States fell to their lowest level since the pandemic in July, as builders struggle with weak demand that keeps inventory levels high. A half-hour after the market opened, the University of Michigan reported that the US consumer sentiment rose in Augustwhile inflation expectations remained unchanged for the following year and beyond.

Yesterday the industrial production (-0.6% m/m) and the retail sales (+1% m/m) for the month of July confirmed the “soft landing” picture. The day before, the consumer pricesagain in July, were substantially in line with expectations: the headline measure recorded a variation of +0.2% m/m (as expected and against -0.1% previously) and of +2.9% y/y (against +3% expected and previously).

After the weak July nonfarm payrolls report earlier this month, many investors had suggested a 50 basis point cut was needed at the next Fed meeting, but the consensus now appears to be for a more modest 25 basis point cut. Attention is already on the Fed chair’s speech. Jerome Powell at the annual central bank symposium in Jackson Hole.

Among the Company Announcements, Texas Instruments announced it will receive $1.6 billion in funding under the CHIPS Act; Pfizer And BioNTech said the combined Covid-flu vaccine missed one of its targets in a phase three trial; the largest shareholder and co-CEO announced a delisting offer B.Riley.

Looking at the main indexes of Wall Street, the Dow Jones is recording a +0.22%; along the same lines, a slight increase for theS&P-500which reaches 5,554 points. Slightly positive the Nasdaq 100 (+0.22%); on the same trend, with a fractional progress theS&P 100 (+0.29%).

In the S&P 500, the performance of compartments financial (+0.52%) and telecommunications (+0.46%).

Among the protagonists of the Dow Jones, Cisco Systems (+2.39%), McDonald’s (+1.27%), Boeing (+1.13%) and Nike (+1.12%).

The strongest sales, however, are seen on Caterpillarwhich continues trading at -0.84%. Disappointing United Healthwhich sits just below the levels of the day before.

On the podium of Nasdaq stocks, Atlassian (+4.11%), Take-Two Interactive Software (+3.21%), DexCom (+2.71%) and PDD Holdings (+2.67%).

The strongest drops, however, occur on Palo Alto Networkswhich continues the session with -2.31%. Prey of the sellers AirBnbwith a decrease of 1.61%. Sales are concentrated on Applied Materialswhich suffers a decline of 1.56%. Weak Lam Researchwhich shows a small decrease of 1.48%.

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