Energy Offsets Fall in Consumer Discretionary Stocks By Investing.com

0
9
S&P 500 sube: Energía compensa caída de acciones de consumo discrecional


©Reuters

By Yasin Ebrahim

Investing.com — The S&P 500 swung between gains and losses on Monday, as gains in the energy sector offset a Tesla-led slide in consumer discretionary stocks.

He was up 0.2%, he was up 0.6%, or 184 points, and he was down 0.43%.

Energy rose more than 3% after it recouped earlier losses on fears of a supply shortage as European members appear to be making progress on a deal to ban Russian oil.

WHAT (NASDAQ:), marathon oil (NYSE:) and Occidental Petroleum Corporation (NYSE:) were the biggest gainers, the latter more than 6%.

The financial sector, meanwhile, was also a drag on the market in general, led by signature bank (NASDAQ:), as the crypto-exposed bank posted a drop in deposits after crypto markets tumbled.

Regional banks, meanwhile, also suffered losses, adding to pressure on the sector amid growing bets of an economic slowdown following slower economic growth in China overnight.

“Our belief is that the odds of a full-blown recession in 2022 remain low,” Wells Fargo said in a note. “However, the probability has increased substantially that the economy could contract in 2023.”

Consumer discretionary stocks were the biggest drag on the market, led by a more than 4% drop in Tesla (NASDAQ:).

Big tech were mixed, with Apple (NASDAQ:), Alphabet (NASDAQ:) and Amazon (NASDAQ:) in the red, while Facebook (NASDAQ:) and Microsoft (NASDAQ:) rose more than 1%.

Twitter (NYSE:), for its part, gave up more than 7%, as investors seem to weigh the possibility that Elon Musk will lower his offer of 44,000 million dollars to take the company public, or that he will finally leave. the deal.

Musk said last week that the Twitter purchase deal was on hold, citing concerns about fake accounts at the social media giant.

The move was widely seen as a gambit to trade a lower price, which if not accepted and results in Musk leaving, “then the stock would likely see a sub-$30 level with a broken deal in this unsettled market environment.” Wedbush said.

On the economic front, regional manufacturing data added to concerns about an economic slowdown after a New York manufacturing activity reading fell 36.2 points to negative 11.6 in May.

In other news, JetBlue Airways (NASDAQ:) fell 4% after submitting a $30 per share offer for spiritual airlines (NYSE:) after his previous offer for the company was rejected.

McDonald’s (NYSE:), for its part, fell 2% after announcing that it will sell its restaurants in Russia, which will mean a loss of 1.4 billion dollars.

Wild swings on Wall Street are expected to continue, following last week’s rebound.

“We expect a choppy range-bound path for stocks in the week ahead – with support still near the 30-month moving average on the SPX (3825), and resistance towards the 4300-4500 range,” said Janney Montgomery Scott in a note.

LEAVE A REPLY

Please enter your comment!
Please enter your name here