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MARKET REVIEW. The Toronto Stock Exchange posted a decline of more than 150 points late Monday morning, pulled down by losses in the technology and base metals sectors, while the major American indices advanced.
The New York Stock Exchange fell slightly on Monday shortly after the opening, hesitant before the meeting of the American central bank (Fed) on Tuesday and Wednesday, which should provide information on the monetary trajectory at the end of the year.
To (re)consult market news
Stock market indices at noon
In Toronto, the S&P/TSX fell by 108.69 points (-0.53%) to 20,513.73 points.
In New York, the S&P 500 gained 10.09 points (+0.23%) to 4,460.41 points.
THE Nasdaq increased by 18.74 points (+0.14%) to 13,726.19 points.
THE DOW rose by 71.86 points (+0.21%) to 34,690.10 points.
THE oil gained US$1.11 (+1.1229%) to US$91.88.
L’gold rose by US$5.00 (+0.2569%) to US$1,951.20.
THE bitcoin gained US$735.47 (+2.77%) to US$27,286.09.
The context
For Karl Haeling of LBBW, the market continues its momentum from September, unable to choose a clear direction, what’s more a few hours before the start of the Fed meeting.
“The market is seesawing, and bond rates are testing highs,” commented the analyst.
The yield on 10-year US government bonds thus came close to a 15-year high on Monday, at 4.35% (it had reached 4.36% at the end of August), compared to 4.33% at the close on Friday.
For Karl Haeling, this surge in rates can be explained by the monetary tightening of the Fed, but also by the influx of Treasury bills and corporate bonds on the market, which brings down prices, rates moving in the opposite direction.
Wall Street expects the Federal Reserve to guide the indices through its communication on Wednesday following the meeting of the monetary policy committee.
“The catalyst will not be the decision itself, because everyone expects the policy rate to remain stable,” but the updating of economic forecasts and rate projections “and what they say of the possible monetary trajectory,” explained Patrick O’Hare of Briefing.com in a note.
Is popular, Apple (AAPL) regained height (AAPL, +1.11%)helped by the strong demand for iPhone 15 in China, in particular the Pro Max model, the most expensive in the range, whose delivery times on the Chinese market have been extended to be able to satisfy orders.
Across the market, pre-orders are up 10 to 12 percent compared to last year when the iPhone 14 launched, according to analysts at Wedbush Securities.
After a euphoric first day of trading (+24.69%), on Thursday, the microprocessor designer Arm (ARM) struggling to find a second wind. Down sharply on Friday (-4.47%), it was still clearly in the red on Monday (ARM, -5.63%).
According to Sunday Telegraphanother British specialist in semiconductor architecture, Imagination Technologies, has confidentially filed its IPO file in New York, inflicting a new setback on the London market.
It’s another crucial week ahead on the IPO front, with the planned arrivals of grocery delivery platform Instacart and online marketing specialist Klaviyo.
The historic strike in the automobile sector penalized General Motors (GM, -1.22%), Ford (FORD, -1.98%) And Stellantis (STLA, -2.26%). Discussions resumed this weekend, but without leading to any major progress.
These developments did not benefit Tesla (TSLA, -2.45%)yet seen as one of the big winners of this social conflict, particularly because the manufacturer does not have a union within it.
The irresistible rise in crude prices, to the highest in ten months, worked for the oil companies,ExxonMobil (XOM, +0.74%) has Chevron (CVX, +0.54%).
Pfizer fell (-0.63%), after its financial director, David Denton, revealed that the laboratory was counting on a vaccination rate of 24% for the new anti-Covid version in the United States, more than during the previous campaign, in 2022 (17%).
Moderna, whose new vaccine was also approved by the American Medicines Agency (FDA), was also battered (-6.36%).
