Dow Jones Industrial Average (INDEXDJX: .DJI) still running on COVID vaccine hopes. – Idaho Reporter


Dow Jones Industrial Average (INDEXDJX: .DJI) still running on COVID vaccine hopes.

The Dow Jones Industrial Average (INDEXDJX:.DJI) fell slightly at the end of a solid week on the stock market. The other major stock market indices, on the other hand, closed moderately on Friday. The focus was on US economic data: consumer sentiment has deteriorated in view of the tense corona situation. The consumer confidence surveyed by the University of Michigan fell from 78.1 points in the previous month to 73.2 points in July. By contrast, analysts had expected a slight increase to an average of 79.0 points.

The DJIA fell 0.23 percent to 26,671.95 points on Friday. From a weekly perspective, however, there is an increase of 2.29 percent. Driven by hope for a corona vaccine, the stock market barometer had risen to 27,071 points in the middle of the week, thereby making up for the slump in prices in mid-June. Afterwards, however, it ran out of strength – also because of concerns about a violent second wave of the viral disease.

With around 77,300 reported cases, the number of new infections has recently reached a new high. It is feared in the market that the development could slow the recovery of the world’s largest economy. On the other hand, according to stockbrokers, the pressure on the U.S. President Donald Trump could increase to counteract it with further fiscal policy impulses. In this case, the stock market would probably receive further boost.

The broader S&P 500 (INDEXSP: INX) rose 0.28 percent to 3,224.73 points on Friday. The technology stocks index Nasdaq 100 (INDEXNASDAQ:NDX) advanced 0.18 percent to 10,645.22 points.

Netflix was particularly noticeable loser, which was expected (SELL on news). According to business figures, the streaming service’s papers bottomed out in the Nasdaq 100 by 6.5 percent to around $ 493 after hitting a record high of $ 575 at the start of the week.

Netflix is ​​now paying tribute to the rally and falling victim to the immense expectations of investors. Because many experts are not that dissatisfied with the number of subscribers – JPMorgan and Jefferies even increased their course goals. By contrast, Douglas Mitchelson of Credit Suisse canceled his recommendation because he no longer sees any course drivers. The corona crisis has led to an enormous switch in users for streaming offers worldwide, from which Netflix has benefited. But that also means that growth in customer numbers is likely to slow again in the second half of 2020.

In the Dow, the shares in Cisco moved ahead of the pack with an increase of 2.1 percent. As of Thursday, a skeptical analyst comment from Bank JPMorgan had burdened the network supplier’s shares. The bottom of the benchmark index this time was JP Morgan with minus 1.9 percent. On Tuesday, however, the banks’ reporting season for the largest financial institution in the United States had started well.

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