Wall St. totters as IBM, Intel weigh, but clocks weekly percentage gain



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Wall St. totters as IBM, Intel weigh, but clocks weekly percentage gain

On Friday, a slew of US stocks had wrapped up the day modestly lower as weak quarterly earnings’ report of IBM and Intel had weighed on trade-sensitive Dow, while S&P 500 faltered following a sharp decline in energy stocks, nonetheless, all three key indices of Wall St.

had managed to eke out weekly percentage gains. In point of fact, Friday’s faltering in the Wall St. had bolstered analysts’ views that a global-scale pandemic outbreak at large alongside its fiscal impacts would likely to dictate major market moves in the United States at least until mid-2021, as chipmaker Intel fell nearly 10 per cent after it had expressed an utter reluctance on outsourcing amid a steep drop in demands, while trade-sensitive Dow had been dragged lower by a havoc-scale 9.91 per cent slump in the shares’ prices of IBM which had reported its fifth straight quarter of decline in sales earlier in the day.

Besides, as a renewed lockdown measure in major Chinese cities alongside a stiffer-than-anticipated pandemic restriction in the United States had been waning hopes of an economic reopening over the coming months, an IHS Markit’s flash reading on US factory activity PMI that skyrocketed to a 13-1/2-year peak in early-January, had failed to lift up investors’ morale.

However, gains from defensive utilities alongside real estate group had helped Wall St. keep a lid on the losses, while an upsurge in Apple Inc. and Microsoft Corp shares’ prices appeared to have offset a steep decline in blue-chip tech stocks.

Wall St. sours on downbeat earnings’ report, pandemic frets

Citing statistics, in the day’s Wall St. closure, trade-sensitive Dow dwindled 0.57 per cent to 30,996.98 and benchmark S&P 500 shed 0.30 per cent to 3,841.47, while tech-heavy Nasdaq added 0.09 per cent to 13,543.06, scoring a new record closing high.

On the week, Dow rose 0.59 per cent and S&P 500 gained 1.9 per cent, while Nasdaq snowballed as much as 4.19 per cent. Meanwhile, addressing to the pandemic-driven uncertainties, a chief investment officer at 6 Meriden in Wichita, Kansas, Andrew Mies said, “Any delay or setback in the reopening theme is probably going to be a headwind for the energy sector. (But)the market is telling you that its confidence in the cyclicals are diminished.