Saturday , July 31 2021

Wall Street nightmare: top indices with biggest weekly drop since March

In the same week that the average number of newly registered infected people reached a record high of 76,590 a day in the US, stock prices on Wall Street fell sharply.

All three major indices fell sharply, both on Friday alone and on the week as a whole. When it closed, it looked like this on Wall Street:

  • The aggregate S&P 500 index fell 1.19 percent
  • Industrial weight Dow Jones fell 0.58 percent
  • The Nasdaq technology index fell 2.45 percent

Worst week since March

After the corona pandemic really settled in the stock markets in March, the top three indices rose steadily.

Of course, this has some exceptions, but since March the three indexes have not dropped as much in a week as they did:

  • The Dow index fell 6.46 percent
  • Nasdaq Composte fell 5.51 percent
  • The S&P 500 fell close to 5.63 percent

The biggest weekly falls between this week and March occurred in June for the Dow and S&P indices, while the Nasdaq had its worst week in September.

Technology stocks fell more

The fall in technology stocks was led by the giants Facebook, Apple and Amazon, which fell more than 5 percent on the stock exchange after presenting the third quarter figures on Thursday.

At the same time, the share price of Alphabet, owner of Google, rose 3.8 percent, after posting positive numbers in the quarter.

However, one of the biggest losers was Twitter, which reported a smaller than expected increase in the number of users. Participation fell to 21 percent on Friday.

Approaching the presidential election

Tuesday next week is the US presidential election day. For now, Donald Trump’s first presidential term is likely to be the last, but there are uncertainties here.

Several investors expected a new stimulus package to be put in place before the election, but this is unlikely. This is believed to be one of the reasons – in addition to the uncertainty associated with the increase in infection – that caused stock prices to fall.

Bolvin Wealth Management chief Gina Bernarduci told CNBC that they received more calls about the election recently than when stock prices plummeted in March.

РI think we will have some volatile days ahead, but there are some factors that affect the market more than who wins the election. (Terms)Copyright Dagens Næringsliv AS and / or our suppliers. We would like you to share our cases through a link that takes you directly to our pages. Copying or otherwise using all or part of the content may only occur with written permission or as permitted by law. For more terms, see here.

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