By DAMIAN J. TROISE – AP Business Writer
Shares closed slightly on Wall Street on Wednesday, exacerbating weekly losses for major indexes following another exciting trading day.
Major indexes traded between gains and losses throughout the day, and technology stocks once again headed for the wider market. As investors’ interest rates fluctuate, the sector has become increasingly volatile. High rates make stocks attractive to high-tech companies and other high-growth stocks.
“We’ve seen some support from last year’s return,” said Megan Horneman, director of portfolio strategy at Verdend Capital Consultants. What we are seeing is that the market has just started again.
The S&P 500 fell 44.35 points, or 1%, to 4,532.76, and 77% of the shares in the benchmark index lost ground. The only sectors closed for profit are utilities and furniture manufacturers, which shows that risky investments have changed.
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Dow Jones Industrial Average fell 339.82 or 1.2%, to 35,028.65.
Tech-heavy Nasdaq fell 166.64 or 1.1% to 14,340.26 and is now 10.7 percent lower than it was on November 19.
Technology giant Apple lost 2.1% and chip maker Nvidia 3.2%.
Each major index sets new prices for the second day in a row.
Small company stocks, a measure of confidence in economic growth, have fallen more than any other market. Russell’s 2000 index fell 33.44 points or 1.6 percent to 2,062.78.
When investors worried about the risks in the big market, the gold price rose 1.6%.
Bond production failed. 10-year Treasury yields fell from 1.87% to 1.85% on Tuesday.
As investors assessed the impact of rising inflation on businesses and consumers, shares of the Federal Reserve’s interest rate policy slumped in January.
Investors are busy reviewing the latest corporate income. Health Insurance United Health Group grew by 0.3 percent after encouraging encouraging financial results. The Bank of America grew by 0.4% after the analysts ‘forecast surpassed analysts’ forecasts.
Home and consumer goods company Proctor & Gamble grew by 3.4 percent after strong financial results. Down dish soap and other products have been shown to be effective in delivering high cost to consumers.
In addition to revenue, Ford is down 7.9 percent after recalling nearly 200,000 cars in the United States to address the issue of brake lights.
Wall Street is monitoring the latest round of results to see if inflation is lowering the profit margins for companies and whether consumers are receiving higher prices without reducing costs. Commodity demand has exceeded the capacity of companies to produce and supply, creating a supply chain problem and costing raw materials.
Economists expect inflation to rise sharply until supply chain problems are resolved and consumer demand declines. Meanwhile, the Federal Reserve is stepping up its support for markets and the economy. The central bank may raise interest rates more than expected to combat rising inflation.
As of late Tuesday, investors were paying the federation a 86% better price to raise short-term rates at a policy meeting in March. One month ago, according to the CME group, they saw a 47% chance.
More big company revenues are available for Wall Street on Thursday. American Airlines, Union Pacific, CSX and Netflix all report their latest financial results.
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