recent YORK — U.S. stake indexes are falling Thursday to commence 2025.
The S&P 500 was down 0.6% in afternoon market activity after rising as much as 0.9% earlier. It’s coming off a four-day losing streak, its longest since early September, which dimmed the complete of its stellar 2024.
The Dow Jones Industrial Average was down 264 points, or 0.6%, as of 2:04 p.m. Eastern period, after an earlier gain of 360 points disappeared. The Nasdaq composite was 0.7% lower.
Tesla slumped after it disclosed it delivered fewer vehicles in the last three months of 2024 than analysts expected. The electric-vehicle business’s stake fell 6.2%.
Some large Tech stocks, which have been leading Wall Street for most of the last few years, bucked the downward pattern. Nvidia, whose chips are powering the globe’s shift into artificial-intelligence technology, rose 1.6% after following up its nearly 240% surge in 2023 with a better than 170% jump last year.
Some investors and analysts are counting on the AI rush to continue, even though critics declare it’s sent prices for some stocks too high too quickly. As the calendar flips to a recent year, Wedbush analyst Dan Ives says it’s the ”same tech playbook in year 3 of this tech AI driven bull economy,” for example.
Such optimism, of course, can also make contrarians feel nervous.
A assess of how heavily Wall Street analysts are recommending stocks is at its highest level since early 2022, according to lender of America strategist Savita Subramanian. She says the assess has been a reliable contrarian indicator in the history, and it’s just a bit shy of triggering a signal to sell for those who are leery when much of Wall Street rushes in the same path.
In the steady earnings economy, Treasury yields were mixed. The gain on the 10-year Treasury fell to 4.56% from 4.57% late Tuesday.
In stake markets abroad, indexes fell 2.2% in Hong Kong and 2.7% in Shanghai after a survey of factory managers showed Chinese activity expanding at a slower pace in December. recent orders, employment and business sentiment weakened.
Upbeat talk by Chinese chief Xi Jinping in a recent Year’s address did little to raise optimism among investors who are hoping for more aggressive action to back the globe’s second-largest economy and boost stake prices.
“We have adopted a packed range of policies to make solid gains in pursuing high-standard advancement. China’s economy has rebounded and is on an upward trajectory,” Xi said in a recent Year communication, according to the official Xinhua information Agency.
stake indexes were mostly higher elsewhere in Asia and Europe.
merchandise prices rallied. A barrel of standard U.S. crude oil rose 2.1% to $73.25, while Brent crude, the international standard, gained 1.8% to $76.02.
Natural gas climbed 2.9%, and gold added 1.1% to $2,668.80 per ounce.
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AP Business Writer Yuri Kageyama contributed.
