Wall St. tumbles, rounds off rancorous week mostly lower



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Wall St. tumbles, rounds off rancorous week mostly lower

On Friday, all three key indices of Wall St had wrapped up the session lower with trade-sensitive Dow and Wall Street bellwether S&P 500 shrugging off more than 1.0 per cent each, as investors’ worries over the rapidly spreading Omicron variant appeared to be mounting, while a faster bond-tapering program that the US Federal Reserve had fostered in a bid to tackle a robust build-up in inflationary pressures which in turn had negatively been affecting employment growth, seemingly had weighed on investors’ morale.

All three major indices of Wall Street closed out the week with a decline, as investors were thought to have digested the data from Wednesday’s December 14-15 US Fed policy meet. In factuality, US Fed had signaled a faster bond tapering on Wednesday and at least three rate hikes each in 2022 and 2023, which eventually stemmed an investors’ gyration towards value stocks as prospects of rate-hikes coupled with a drawdown in Government stimulus, had taken a greater than anticipated toll on investors’ morale.

Nonetheless, Friday’s Wall St. had witnessed a withering downward spiral in both value and growth stocks, as traders seemed to have engaged on a weekend profit taking wave alongside a sell-off of commodity-linked assets following a 2 per cent decline in crude oil futures.

Wall St. falters as investors digest Dec. Fed policy meet data

Citing statistics, in the day’s Wall St. closing bell, Dow dwindled 1.48 per cent to 35,365.44 and benchmark S&P 500 shed 1.03 per cent to 4,620.64, while tech-heavy Nasdaq edged 0.07 per cent lower to 15,169.68.

On the week, Dow dropped 1.65 per cent and S&P 500 shrugged off 1.90 per cent, while Nasdaq was teetered as much as 2.89 per cent to 15,169.68. Meanwhile, addressing to a broad-based dip in financial and energy stocks with a rapidly spreading Omicron scalped demand optimism, a co-manager of trading at Themis Trading in Chatham, New Jersey, Joe Saluzzi said, “It's a big options expiration day.

And now you draw on top of that some Omicron, and you've got volatility, and I think it creates a lot of uncertainty amongst investors. Where are you going to position for the end of the year?