Shortly before 4 p.m., the Dow Jones is falling by 0.12%, the NASDAQ grabbed 0.29%and the enlarged S&P 500 index is close to balance (+0.07%).
The New York Stock Exchange evolves in dispersed order on Monday, relieved by the announcement of a trade agreement between the European Union and the United States, investors remaining however on their guard before a volley of economic data and business results.
Around 1:50 p.m. GMT, the Dow Jones lost 0.12%, the NASDAQ index took 0.29%and the enlarged S&P 500 index was close to balance (+0.07%).
“We have good news regarding the commercial situation”, the EU being “a major partner” of the United States, sums up with AFP Adam Sarhan, of 50 Park Investments.
Donald Trump and the president of the European Commission Ursula von der Leyen drew the contours on Sunday in Scotland of a customs agreement providing that European products exported to the United States will be taxed at 15%.
The exporters feared the establishment of American taxes of 30% from August 1, the deadline chosen by the American president for the establishment of his customs duties.
Investors “expect other agreements to be concluded,” said Sarhan.
The Trump administration has so far established compromises with the United Kingdom, Japan, Vietnam, Indonesia and the Philippines.
China and the United States have started on Monday in Stockholm a new cycle of negotiations on their reciprocal customs duties, which could lead to an extension of their pricing truce.
“This gives the market a little respite, because we are not about to fall into a bottomless abyss” on the commercial level, “estimates Mr. Sarhan.
In terms of indicators, the week will be particularly rich in economic data with, among other things, the employment report in the United States on Tuesday, a first estimate of American GDP for the second quarter on Wednesday and the PCE index on Thursday, inflation gauge privileged by the American Central Bank (Fed).
Wall Street will follow the meeting of the Fed Monetary Policy Committee (FOMC) at the end of which the institution should leave its rates unchanged, in a range between 4.25% and 4.50%. The decision is expected on Wednesday at 6:00 p.m. GMT on Wednesday.
On the bond market, the yield of American state loans at 10 years old was tied slightly, at 4.41% against 4.39% Friday at the end.
“In addition to developing on the commercial front, the market faces a crucial week” with many “S&P 500 companies (…) that will publish their results,” recall analysts from briefing.com.
The American square is waiting for the quarterly publications of several of the “seven magnificent”, the nickname given to the giants of the technological sector, including Meta, Facebook parent company, and Microsoft on Wednesday, then Amazon and Apple on Thursday.
At the coast, the Tesla electric vehicle specialist was evolving in the green (+0.34% at 317.15 dollars) after his boss Elon Musk confirmed on Monday that the Texan factory of Samsung Electronics will provide fleas to his company.
As part of this $ 16.5 billion agreement (just over 14 billion euros), the partnership, which took effect on July 24, will continue until the end of 2033.
The Boeing aircraft manufacturer (+0.50% at 234.23 dollars) was headed out of the water despite threats from strikes from a workers’ union who assemble the group’s fighter planes in Missouri and Illinois.
The latter rejected on Sunday rejected the proposal for the new corporate contract of the American aircraft manufacturer, which “does not respond”, according to them, “to priorities or to the sacrifices made by this skilled workforce”.
The Nike sports equipment supplier (+1.89% to $ 77.71) benefited from a more favorable purchase recommendation from JP Morgan.