November 15, 2024

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The S&P 500 ended lower as Apple prices fell and traders looked forward to Powell’s speech

The S&P 500 ended lower as Apple prices fell and traders looked forward to Powell’s speech
  • Investors are looking at Powell’s speech for clues to interest rates
  • US consumer confidence declines in November
  • S&P 500 -0.16%, Nasdaq -0.59%, Dow Jones +0.01%

(Reuters) – The S&P 500 ended lower on Tuesday, with losses in Apple and Amazon ahead of an upcoming speech by US Federal Reserve Chairman Jerome Powell that may provide hints about the size of future rate hikes.

Investors also focused on recent protests against COVID-19 restrictions in China, including at the world’s largest iPhone factory.

An apple (AAPL.O) The stock fell 2.1% for the fourth straight session.

Powell is scheduled to speak at a Brookings Institution event on Wednesday about the future of the US economy and labor market. Investors will be looking for clues as to when the Fed will slow the pace of sharp interest rate increases.

“No one is ready to buy until tomorrow with Powell speaking. Everyone is nervous about what he’s going to say,” said Ron Saba, senior portfolio manager at Horizon Investments in Charlotte.

Amazon stock (AMZN.O)nvidia (NVDA.O) and tesla (TSLA.O) Each of them lost more than 1%.

S&P 500 benchmark (.SPX) Gains are heading for a second consecutive month in November amid bets that recent inflation readings showing a slight slowdown in prices will prompt the Federal Reserve to scale back interest rate hikes.

The Fed has raised interest rates four times in a row by 75 basis points and is expected to ease the pace to a 50 basis point move in December. fedwatch

Tuesday’s survey showed that US consumer confidence fell further in November amid persistent concerns about the rising cost of living.

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A professional trader works with his son during a traditional day of bringing your children to work floor at the New York Stock Exchange (NYSE) in New York City, US, November 25, 2022. REUTERS/Brendan McDiarmid

The latest wave of civil disobedience in mainland China comes as the number of coronavirus cases is at record daily levels, and large parts of several cities face new lockdowns, threatening the world’s second-largest economy.

S&P 500 Energy Sector Index (.SPNY) It rose 1.3%, while gains in oil prices on expectations of easing China’s strict COVID restrictions were offset by concerns that OPEC+ will keep its output unchanged at its next meeting.

The S&P 500 fell by 0.16%, ending the session at 3,957.60 points.

The Nasdaq index fell 0.59%, to 10,983.78 points, while the Dow Jones Industrial Average rose 0.01%, to 33,852.13 points.

Even though the S&P 500 was down, the number of advances outnumbered the decliners (.AD.SPX) by a ratio of 1.3 to one.

S&P 500 records three new highs and two new lows; The Nasdaq index posted 68 new highs and 183 new lows.

US-listed shares of Chinese companies Alibaba Group Holding Ltd and Pinduoduo Inc (PDD.O) JD.com Inc jumped more than 5% after China expanded equity financing channels for real estate developers.

Shares of Chinese internet company Bilibili Inc jumped 22% after announcing upbeat quarterly results.

Trading volume on US stock exchanges was relatively light, with 9.6 billion shares changed hands, compared to an average of 11.2 billion shares during the previous twenty sessions.

Additional reporting by Shriyashi Sanyal and Anika Biswas in Bengaluru, and Noel Randewich in Oakland, California. Editing by Margarita Choi and Shonak Dasgupta

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