Wall Street opens red and the Dow Jones falls 1.22%

Wall Street opens red and the Dow Jones falls 1.22%

New York, Sep 23 (EFE).- Wall Street opened this Friday in red and its main indicator, the Dow Jones Industrials, fell 1.22%, heading to close a new week with losses, again in reaction to the Wednesday’s rise of 75 basis points in interest rates decreed by the United States Federal Reserve (Fed) and the fear of a recession.

Ten minutes after beginning the session in the New York Stock Exchange, the Dow Jones subtracted 367.99 points, up to 29,708.69; while the selective S&P 500 lost 1.46% or 54.75 units, to 3,703.

The Nasdaq market composite index, which brings together the main technology companies, fell 1.4% or 154.84 integers, to 10,911.97

The New York stock market opened lower again, with analysts still ruminating on the decision of the United States Federal Reserve (Fed) to raise interest rates to place them in a range between 3 and 3.25%, the highest level in the last 14 years, to try to stop inflation.

A measure that is also being applied by the central banks of the leading economies such as the Bank of England, which on Thursday raised interest rates in the United Kingdom by 0.50 percentage points, to 2.25%, its highest level since December 2008.

“Central banks now seem to accept that a recession is the price to pay for controlling inflation,” said Oanda analyst Craig Erlam.

With the bad streak accumulated in recent weeks, the Dow Jones is dangerously close to the bear market, which would be to fall below 20% of the last maximum reached.

According to the specialized page Market Watch, this brand would be located at 29,439.72 points.

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By sectors, this morning, all woke up in red with the worst losses for energy (-5.64%). raw materials (-2.16%) and non-essential goods (-1.8%).

As for the 30 companies listed on the Dow Jones, the vast majority operated in the red, including Chevron (-4.53%), Boeing (-2.61%) and Caterpillar (-2.45%), while that only Merck & Co (0.02%) woke up positive.

Elsewhere, Texas oil fell to $79.26 a barrel, the 10-year Treasury yield rose to 3.713%, gold fell to $1,658.9 an ounce, and the dollar lost ground against the euro, with an exchange rate of 0.9753.

(c) EFE Agency

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