Categories: world

Dow rises about 300 points because stocks try to recover from two days of pummeling

US. The shares began a recovery Tuesday morning after a multisession route took Nasdaq and S & P 500 to their lowest levels since the fall of 2017, and as investors remain laser-focused on the Federal Reserve, which begins its final policy meeting Tuesday and is announcing a decision as to whether The interest rate will be raised Wednesday afternoon. How do benchmarks work? Dow Jones Industrial Average DJIA, + 1.21% received 285 points or 1.2% while the S & P 500 SPX, + 0.89% index rose 24 points or 0.9%. Nasdaq Composite Index COMP, + 1.08% climbed 61 points, an increase of 0.9%. The return followed a less than star Monday when Dow recovered 507.53 points, or 2.1%, at 23.592.98, S & P 500 SPX, + 0.89% fell 54.01 points, or 2.1% at 2.545.94 and the Nasdaq Composite Index COMP, + 1.08% recovered 156.93 points to 6.753.73, a decrease of 2.3%. S & P 500 closed at its lowest level since October 2017 on Monday, Nasdaq ended its lowest since November 2017, and Dow closed at the lowest level since March 23, according to Dow Jones Market Data. Read: Therefore, Fed will not save the stock market, despite the worst December start since 1980 What drives the market? Persistent fear that weak global growth will be washed up on US beaches continues to confuse investors and has resulted in the worst stock market sales in the last memory, supported by rising interest rates and war wars. The downdraft coming…

US. The shares began a recovery Tuesday morning after a multisession route took Nasdaq and S & P 500 to their lowest levels since the fall of 2017, and as investors remain laser-focused on the Federal Reserve, which begins its final policy meeting Tuesday and is announcing a decision as to whether The interest rate will be raised Wednesday afternoon.

How do benchmarks work?

Dow Jones Industrial Average

DJIA, + 1.21%

received 285 points or 1.2% while the S & P 500

SPX, + 0.89%

index rose 24 points or 0.9%. Nasdaq Composite Index

COMP, + 1.08%

climbed 61 points, an increase of 0.9%.

The return followed a less than star Monday when Dow recovered 507.53 points, or 2.1%, at 23.592.98, S & P 500

SPX, + 0.89%

fell 54.01 points, or 2.1% at 2.545.94 and the Nasdaq Composite Index

COMP, + 1.08%

recovered 156.93 points to 6.753.73, a decrease of 2.3%.

S & P 500 closed at its lowest level since October 2017 on Monday, Nasdaq ended its lowest since November 2017, and Dow closed at the lowest level since March 23, according to Dow Jones Market Data.

Read: Therefore, Fed will not save the stock market, despite the worst December start since 1980

What drives the market?

Persistent fear that weak global growth will be washed up on US beaches continues to confuse investors and has resulted in the worst stock market sales in the last memory, supported by rising interest rates and war wars.

The downdraft coming as the Federal Open Market Committee is coming to its final gathering of 2018 on Wednesday. Even though the market is fixed on the rate of interest rate hikes 2019, investors expect an increase of 25 points in the reference rate at the meeting.

The CME Group’s data, which measures Federal-fund futures, indicates a 71.5% probability of the interest rate increase to a range of 2.25% -2.50%. This figure has fallen from 75.8% just a week ago and investors’ uncertainty over the next step of the Fed has been driven by Fed’s call for declines to raise prices Wednesday, with the latest coming in the form of a Wall Street Journal editorial published Tuesday morning.

President Donald Trump has also been a consistent advocate for higher interest rates and went to Twitter again Tuesday morning to promote the magazine editorial campaign and push for more swift policy from the central bank.

At the same time, Chinese leader Xi Jinping called at an event to celebrate the 40th anniversary of China’s economic reforms that China would “keep the course” on economic reforms and add a tough note that “no one is in a position to dictate for it Chinese people what should or should not be done “, a clear reference to the ongoing customs market between Beijing and Washington led by President Donald Trump’s administration.

Wh on are analysts say?

“We are seeing a rather low volume session ahead of us,” wrote Joel Kulina, an analyst with Wedbush Securities in a listing to customers, claiming that investors will be reluctant to make big bets before they know what Fed’s next step will be.

The market Tuesday is “set up for a handed over bounce, and nothing more than that,” he wrote. “Those waiting for a meaningful Santa Clause Rally will be disappointed, because hope is not a strategy that has been found in” 18. “

“Maybe dollar traders have chosen to lock any winnings before tomorrow’s FOMC price decision. The market allocates almost 70% chance for the committee to press the hiking button, and if that is the case, the market’s attention will quickly turn to the updated economic forecasts, and especially the new “dot plot”, “wrote Charalambos Pissouros, senior market analyst at JFD Brokers, in a Tuesday announcement.

“Investors will be keen to see if the growth problems will cause Fed officials to revise their forecasts, and if so,” he wrote.

What data is ahead?

US residential builders began construction at a seasonally adjusted annual level of 1.26 million homes in November, over the 1.23 million expected, according to a MarketWatch survey by economists.

New building permit in November was issued at a seasonally adjusted annual rate of 1.33 million, against consensus estimates of 1.27 million, according to FactSet.

What shares are in focus?

Oracle Corp.

ORCL, + 0.22%

is up 1.6% after the software company reported a performance battle late on Monday.

Opinion: Oracle’s strong earnings due to strong repurchases of shares

Shares of CBS Corp. .

CBS, + 0.17%

is 0.3% after the sender announced Monday that former CEO Les Moonves will not receive a $ 120 million retirement package after the board found that he violated corporate policy and co-operated with an investigation of allegations of sexual misconduct.

Boeing Co. .

BA, + 4.04%

The share increased by 4.1% after the company announced a dividend of 20% and a new share buy program Monday evening.

How do other markets trade?

Asian markets closed Tuesday, with Japan’s Nikkei

NIK, -1.82%

Hong Kong Hang Seng Index

HSI, -1.05%

and China’s Shanghai Composite Index

SHCOMP, -0.82%

loses the ground.

In Europe, stocks are also down, with the Stoxx Europe 600

SXXP, -0.42%

in the red.

Crude

CLF9, -2.06%

continues to slide Tuesday, down 2.8% in one week when prices have fallen more than 4%. The price of gold

GCG9, -0.06%

was 0.1% lower, while US dollars

DXY, -0.19%

is down 0.1%

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