Wall Street closes in red due to mixed economic data and fear of recession in the US

The main indices of Wall Street They closed lower on Wednesday as investors digested mixed economic data, rising Covid-19 cases in China and geopolitical tensions ahead of 2023.

The Dow Jones Industrial Average fell 365.85 points, 1.10%, to settle at 32,875.71 units, while the S&P 500 it lost 46.03 points, or 1.20%, to 3,783.22 units. The Nasdaq de left 139.94 points, or 1.35%, at 10,213.29 units.

“There was no Santa appearance this year. The Grinch arrived this December for investors,” said Greg Bassuk, managing director of AXS Investments in Port Chester, New York.

December is usually a strong month for stocks, with a rally in the week between Christmas and New Years. The S&P 500 It has recorded just 18 losing Decembers since 1950, data from Truist Advisory Services shows.

The 11 indices of the S&P 500 they fell on Wednesday, with energy stocks losing the most.

Investors have been weighing in on Beijing’s decision to begin rolling back its strict Covid measures this month in a sharp 180-degree turn, announcing on Monday that it would lift quarantine for travelers from next month as infections soared. in China.

The referential S&P 500 is down 20% year-to-date and is on the verge of posting its biggest annual loss since the 2008 financial crisis. The decline has been most severe for the Nasdaq Compositeheavily influenced by technology, which closed at the lowest level since July 2020.

While recent data pointing to easing inflationary pressures has bolstered hopes for more modest interest rate increases, a tight labor market and a resilient US economy have raised concerns that rates could stay higher for longer. weather.

The actions of Tesla Inc They rose on a busy day, after touching their lowest level in more than two years in the previous session due to concerns about demand in China. Still, the value has sunk 69% on the year.

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