Global Market Square
The U.S. stock market ended the session Wednesday in negative territory, following Tuesday’s session, which closed with losses after Covid-19 surge concerns in Europe.
We continue to adhere to our view that the markets are performing a stock rotation that is causing increased volatility. Further evidence of the process are the constant Nasdaq Composite losses as investors shed those stocks favored during the pandemic and rotate toward those shunned during the pandemic.
In our view, we understand that investors are pretty optimistic that the massive vaccination initiative will drive an unbridled economic expansion period in the United States.
Federal Reserve Chairman Jerome Powell seems to concur with that assessment, stating that “the economy is growing more quickly than first anticipated,” but he sees “unemployment numbers as a concern.”
In global news, the Suez Canal is blocked after a container ship called “The Ever Giver,” one of the world’s tallest ships and comparable in length to the Empire State building, ran aground across the canal.
There have been round-the-clock efforts to free the vessel that is threatening to impact global shipping for weeks.
Key economic benchmarks reported include:
- U.S. New Single-Family Houses Sold fell to 775,000, down from 948,000 last month, a decrease of 18.25%.
- U.S. Durable Goods New Orders fell 1.14%, compared to 3.56% last month.
- U.S. Exports of Goods and Services rose 6.65% from last quarter.
Wall Street summary for March 24, 2021:
- The Dow Jones Industrial Average closed at 32,420.06, down 3.09 points, or 0.01%.
- The Standard & Poor’s 500 closed at 3,889.14, down 21.38 points, or 0.55%.
- The Nasdaq Composite Index closed at 12,961.89, down 265.81 points, or 2.01%.
- The Birling Capital Puerto Rico Stock Index closed at 2,332.80, down 57.35 points, or 2.4%.
- The U.S. Treasury 10-year note closed at 1.62%
- The U.S. Treasury 2-year note closed at 0.14%.