Concerns about inflation and growth weighed on the US stock markets at the start of the week. Before the international meeting of central bankers in Wyoming, which begins on Thursday, prices are going down again. The shares of cinema operators even collapse.
The losing streak on Wall Street continued at the beginning of the new week. The Dow Jones index lost 1.9 percent. The S
Market participants pointed to a number of factors weighing on sentiment, primarily geopolitical, but also market technicals and seasonal patterns in the stock market, after some indices rose more than 19 percent from their mid-July lows. The interim rally was triggered by speculation that the peak of inflation could have been seen in the USA and that the US central bankers could therefore shift down a gear in their interest rate hike process.
Recently, however, other signals have come from circles of US central bankers, namely that everything must continue to be done to curb inflation. At the annual meeting of central bankers in Jackson Hole, which begins later in the week, little is likely to change in this hawkish attitude, according to the disillusioned market.
In line with this environment, ten-year US market interest rates have now broken through the three percent mark again after a setback. The dollar continued to rise with higher interest rates, and the euro fell well below parity again.
In the meantime, it was rather worrying for many actors that in China, which is so important for the global economy, key interest rates were reduced again within a week to support the weakened economy. And because the price of gas in Europe has climbed to new highs, the danger of a recession is increasing there in the coming months. Because gas demand is also shifting to the USA, gas is now as expensive there as it was last in 2008. In late trading, the price rose by a good 4 percent.
The oil price was initially weighed down by fears of lower demand due to the economy. Observers also pointed to a possible agreement in the nuclear dispute with Iran, which could lead to a larger supply if more Iranian oil came onto the market again. However, prices broke sharply from their daily lows after Saudi Arabia threatened to cut OPEC production to stem the price slide. The European reference variety Brent even turned positive at the time of settlement.
All in all, the participants in this mixed situation on the stock market again acted risk-averse and frolicked more and more on the seller side. The online retailer Amazon is apparently among the bidders in an auction for the healthcare company Signify Health. Amazon joins other bidders competing for the home health services provider, according to people familiar with the matter. The action could bring in more than 8 billion dollars. Signify Health jumped 32 percent. In addition to Amazon (minus 3.6 percent), CVS Health (minus 1.6 percent) is also among the bidders, as is UnitedHealth (minus 0.7 percent).
AMC Entertainment dropped 42 percent. On the one hand, this was due to the fact that the cinema operator's preferred shares will be traded for the first time on Monday, and on the other hand that the competitor Cineworld (minus 21.4 percent in London) may file for bankruptcy due to poor business in the USA.
Bed, Bath, also considered a so-called meme stock
