Wall Street crashed, unease returns to global markets

The Bag New York tied its third straight decline, as its major stock indices plummeted more than 2%. Tech stocks, which a few weeks ago pushed Wall Street to record highs, are now pulling down. The S&P 500 Index fell 2.8%, the Dow Jones fell 2.2% and the Nasdaq lost 4.1% .╠

Tech stocks had flown on Wall Street, also boosted by intense activity in the stock options market of big tech companies. The operation allows financial investors to generate huge profits on a security, without having to pay for its entire value. The condition is that the stock continues to rise. But if the trend reverses, the decline is quick and steep. That’s what happened last week, when Apple shares fell 3.1% .╠

The flight to quality caused the 10-year Treasury yield to close at 0.67%, up from 0.72% on Friday.

The energy sector shares also posted heavy losses, due to the fall in crude prices fell. The US crude price (WTI) fell $ 3.01 to close at $ 36.76 per barrel. The Brent blend lost $ 2.23 to $ 39.78 a barrel. This drop came after Saudi Arabia cut its October sales prices and Covid 19 cases rebounded several times. countries.

Coronavirus cases are increasing in India, Britain, Spain, and various parts of the United States. The rebound could weaken the global economic recovery and affect fuel demand.

Argentine stocks listed on Wall Street managed to weather the collapse of the US markets. On the Buenos Aires Stock Exchange, for its part, the S&P Merval index lost only 0.5%, after falling at the beginning of the round to almost 3% .╠

After Argentina managed to restructure foreign debt for $ 66,000 million and securities under local legislation for another $ 41,000 million, investors are expectant about the price of the new bonds. Those securities began trading in full yesterday, due to the fact that the Labor Day holiday in the US was celebrated on Monday. They debuted in New York with a yield above 11%. The exit rate was slightly above the 10% projection made at the time of closing the deal with creditors. Analysts estimated that it will settle towards that theoretical value.

The volume traded in bonds in the local market was less than a figure equivalent to US $ 2,000 million, in a context in which three-quarters of the operations were concentrated in the brand new Bond 2030. This last security traded at 6,320 pesos, with a rise of 0.8% in the local market compared to the day before. In New York, meanwhile, the global 2030 had a yield of 11.5%, while in 2038 it was 12%, and the title 2046 , 12.5%. For its part, the 2035 bond had a yield of 11.6%.

“The new titles at the moment have a limited volume,” said Joaquín Candia, analyst at Rava Bursátil.╠

The positive position of the country’s yield curve had not occurred since mid-2018, when the market turned around and the risk of default became increasingly real. The bonds in dollars under local law operated with lower yields than those issued under foreign law, since they moved with rates between 10.5% and 11.5%, showing a lower risk than international bonds.

The country risk prepared by the JP Morgan bank rose 33 units, to 2,150 basis points, pending a reconfiguration of the index with the new titles

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September Curse Real, Wall Street ‘Fires’

Jakarta, CNBC Indonesia – The United States (US) stock exchange experienced a sharp decline on Thursday (3/9/2020). This happened after a record at the close of last August.

The Nasdaq technology-rich index fell 5% or ended at 11,458.10 positions. This follows yesterday’s sell-off in technology stocks.

The Dow Jones slumped 2.8% to 28,292.73. Meanwhile the S&P 500 fell 3.5% to 3,455.06.

“The market is overbought and is about to retreat,” said analysts at Quincy Krosby, chief US market strategist at Prudential Financial.

According to him, historically September was a bad month for the stock market.

Big tech companies are on the decline. Apple shares slumped 8%, Alphabet 5% and Tesla 9%.

The sell-off came after mixed US economic data was reported. The US noted a slowdown in the service sector in August.

Not to mention the bigger-than-expected jobless claims and this year’s record layoffs. The US also posted a large trade deficit, which was unexpected in July.

[Gambas:Video CNBC]

(Head / head)


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Clever Leaves, First Colombian Cannabis Company on Nasdaq | Companies | Business

The Colombian company Clever Leaves, one of the main multinational operators and authorized producer of pharmaceutical quality cannabis and medicinal hemp extracts, will be the first national company in the sector to be listed on the Nasdaq market, the second most automated and electronic stock exchange. large of the USA

(Lea: Medical cannabis clinic opens in Bogotá)

This result was given by an agreement with Schultze Special Purpose Acquisition (SAMA) with which it will be combined and become a company that will be publicly traded on the Nasdaq.

(Lea: The cannabis industry is still pending its regulation)

Andrés Fajardo, founder of Clever Leaves, along with Julián Wilches and Gustavo Escobar, told Portafolio that entry into that market will take place in the fourth quarter and the combined company will trade under the symbol CLVR.

With the operation, he said, he hopes to enter a world of large investors and take advantage of synergies to obtain capital and eventually think about future acquisitions.

Clever Leaves has not been in the market for five years yet and has already obtained local and international financing for US $ 105 million and in Colombia it has invested US $ 55 million.
In the country it has a 17-hectare cultivation area in Pesca (Boyacá) and a production and processing plant in Tocancipá.

In addition, on Tuesday it announced that it was granted a license from Infarmed IP, which is the Portuguese regulatory authority that oversees the pharmaceutical industry, including medicinal cannabis, to grow, import and export dried flower with good agricultural and collection practices, produced in the company’s cultivation in that country, where it bought 85 hectares and in which there is already one operational hectare.

The license marks the beginning of Clever Leaves’ cultivation activities in Europe and its ability to produce, market and export high-quality cannabis flower for medicinal purposes.

In addition, Fajardo said that the company also recently obtained the European Union Good Manufacturing Practice compliance certification for its post-harvest and laboratory operation from the Croatian Agency for Medicines and Medical Devices.

Andrés Fajardo said that in Colombia there is a misalignment of regulations compared to other countries, “despite the fact that we were among the first to advance in the approval of medical cannabis.” The company has exported to Canada, England, Poland, Israel, Germany, Chile and recently Australia.

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Gegara This, China Makes the US Hot Again in the Capital Market

Jakarta, CNBC Indonesia – Competition to attract start-up companies (startup) technology to enter and be listed on the capital market between the United States (US) via the Nasdaq Exchange and China via the Shanghai Stock Exchange and the Shenzen Exchange (Shenzhen Stock Exchange) heating up again.

After previously the Shanghai Stock Exchange released a trading board called Star Market or the Science and Technology Innovation Board on July 22, 2019, a new board for startup companies in China, now the Shenzen Exchange will have 18 new companies that will be listed on the ChiNext board.

This is the first time ChiNext has made another move to attract technology companies since China made reforms in the capital market amid the pressure of competition with the US.

The ChiNext board was actually traded on October 30, 2009. This trading board is specifically for startups on the Shenzen Exchange, similar to the US Nasdaq Exchange which trades technology companies.

This Monday, dozens of startups are ready to take the floor on ChiNext under the initial public offering mechanism (initial public offering/ IPO) with a style similar to the Nasdaq Exchange.

Thus, the Shenzhen Stock Exchange will again challenge the Shanghai Stock Exchange to trade shares of technology companies, and is judged to be fueling the “technology war” between China and the US.

On Monday 24 August, a total of 18 companies will start trading on ChiNext in the first round of registration or listing usai reformasi IPO China.

The Shenzen Exchange move comes after months of the Chinese government undertaking reforms aimed at facilitating initial public offerings or IPOs of Chinese companies and increasing financing for technology companies amid China’s and US efforts to ‘war’ to become technology masters.

According to the year-old Star Market on the Shanghai Stock Exchange, the reform of the widespread IPO mechanism will help strengthen the attractiveness of the Chinese capital market as Chinese technology companies face stiff US scrutiny and threats. delisting (removal) from the US stock exchange.

“These reforms will create very strong competitive forces between the two markets [Shanghai dan Shenzen] in attracting candidates who are listed companies, “said Wilson Chow, TMT industry leader (technology, media, and telecom) at PwC Global, quoted by CNBC International, Sunday (23/8/2020).

He also considered that the IPO reform carried out by China could also contribute to the separation between the US and China in the field of technology development, but there was a potential impact that it would lead to competition in the capital market and the telecommunications and software sectors.

“We may see a big trend of polarizing technological developments as the US and countries on par with the US can adopt their own technology systems or use their own equipment, while China and countries friendly to China can create their own standards, not unified ones. . “

The US administration under President Donald Trump has recently strengthened restrictions on Chinese technology giant Huawei Technologies and sanctioned Chinese-owned apps TikTok and WeChat. Trump also launched an initiative to exclude Chinese tech companies that are suspected of posing a national security risk.

Under the new IPO rules, the Shenzhen Exchange will inspect IPO applications against disclosure requirements. Companies who want go public nor does it require an examination by the China Securities Regulatory Commission.

Shares on the ChiNext board will also be allowed to rise or fall by up to 20% in one session, compared to the previous maximum of only 10%. This leeway provides space for trading interest in the more than 800 stocks currently listed on ChiNext.

The reforms are based on the Star Market on the Shanghai Exchange, which has become the dominant listing place for technology companies in China and surpassed the Hong Kong Stock Exchange and the New York Stock Exchange (NYSE) as the second largest IPO market in the world by fundraising value in the first half of 2020. .

Yang Tingwu, Deputy General Manager of the company hedge fund Tongheng Investment, said he was concerned that an easier and quicker change to the IPO mechanism could potentially increase China’s “very large” technology bubble.

The index of Chinese tech companies’ shares has also jumped nearly 30% this year, while shares of Chinese-listed tech companies are trading at about 60 times their revenue, compared to the Nasdaq at 37 times their revenue.

Other capital market players are also concerned that looser regulations could pose risks.

“Lower standards are likely to attract more fraudulent activity,” said Brian Bandsma, New York-based portfolio manager of Vontobel Asset Management.

“There are lots of good regulations in China. The problem is enforcement of those regulations.”

Chinese regulators have previously promised repeatedly that they will not tolerate fraud in capital markets after a spate of corporate scandals.

[Gambas:Video CNBC]

(tas)


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Prospect of pandemic easing supports US stock markets

Frankfurt The prospect of loosening corona restrictions in some U.S. states supported prices on Wall Street on Friday. However, due to the overall gloomy economic forecasts, there was no real mood to buy.

The Dow Jones gained 1.1 percent to 23,775 points. The technology-heavy Nasdaq advanced 1.7 percent to 8635 points and the broad S&P 500 increased 1.4 percent to 2837 points. On a weekly basis, the Dow gained about 1.1 percent, the S&P 1.4 percent and the Nasdaq just under 1.7 percent.

Georgia is the first federal state to lift the lockdown, although President Donald Trump did not approve the timing. Governors from Texas, Tennessee, Ohio and Montana, for example, also announced plans to allow business to resume quickly for some jobs.

“We have passed the peak and slowly but surely all countries in which there have been no major cases will gradually reopen,” said Thomas Hayes, managing member of the asset manager Great Hill Capital. “The market sees this as a signal that demand will come back.”

But the prospects for the global economy remain bleak. The US industry is experiencing a massive drop in orders as a result of the corona crisis. Orders for consumer goods such as airplanes and machines dropped by 14.4 percent in March. Economists surveyed by Reuters had expected a drop of 11.9 percent.

In Europe, investors were disappointed by the EU’s contingency plans to combat the aftermath of the pandemic. The Dax lost 1.7 percent to 10,336 points, the EuroStoxx fell by around one and a half percent.

Prices went up and down on the oil market. After a loss of around five percent, a barrel (159 liters) cost $ 16.86, around two percent more than on Thursday. North Sea oil of the variety Brent was quoted at $ 21.60. The price for the main US brand WTI then stabilized around $ 17. Oil stocks like ExxonMobil and Chevron reacted with further moderate profits.

Analysts are not giving the all-clear after the historic price collapse at the start of the week. “The extracted oil simply has no place where it can be stored,” said Bjornar Tonhaugen, who is responsible for the oil market at the Rystad Energy analysis company.

Because of the pandemic, oil demand has plummeted 30 percent. At the same time, the camps are filled to bursting, particularly in the USA.

The unprecedented drop in the price of oil at the beginning of the week is the subject of investigations by the US derivatives regulator (CFTC). “In such a situation, we are looking into all sorts of explanations,” CFTC Commissioner Dan Berkovitz told Reuters on Friday. Because of the extreme price fluctuations, you will take a closer look this time. In the United States, such an investigation can take years.

Focus on individual values

One of the biggest losers in the US stock market was stocks of Boeing, which gave around 6.4 percent. According to a newspaper report, the aircraft manufacturer plans to cut the production of its Dreamliner model 787 in half.

In addition, the planned purchase of the commercial airline division of the Brazilian airline threatens Embraer to burst in view of the rapidly falling market value of both groups. There was a blockade on the $ 4.2 billion deal, and fate is uncertain unless a breakthrough is found quickly, people familiar with the talks said.

Papers from Intel tended to go down in the course, then close 0.4 percent up. The chipmaker had forecast earnings below expectations for the second quarter.

Given the general situation, it is not surprising that the group has also cashed in its annual forecast, the analysts from Cowen and Company judged. However, it is surprising that the structural drivers for growth in the first quarter apparently no longer exist in the second quarter.

The shares of Facebook at the same time increased by 2.7 percent, while the papers from zoom Video communications, which had risen to a record high of $ 181.50 at the start of trading, plummeted 6.1 percent. In view of the rapid growth of video chats in the corona crisis, Facebook does not want to leave this terrain to the rising zoom and counters with its own offer.

The fuss about the Ebola drug Remdesivir from Gilead Science, which is currently being tested in the treatment of lung disease Covid-19, did not go on too long that day. According to the manufacturer, the fact that the administration of the drug in China did not lead to a noticeable improvement in patients, as was reported on Thursday, is not meaningful

The study was terminated prematurely due to low participation and therefore has no statistical value, it said. Gilead’s stock, which had dropped a little more than 4 percent the day before, eventually recovered by 2.4 percent after further losses initially.

The share certificate from Beyond Meatwhich rose for the seventh day in a row. Cooperation with has been particularly strong since Tuesday, after the meat substitute manufacturer had announced Starbucks want to enter the Chinese market. Overall, the paper has risen by almost 40 percent since this announcement, nine percent of which this Friday alone.

After a weaker start, trend-setting ten-year government bonds on the US bond market finally rose by 3/32 points to 108 20/32 points and returned 0.590 percent. The euro was trading around the $ 1.08 mark in US trade and was priced at $ 1.0815 at the close on Wall Street. The European Central Bank set the reference price at $ 1.0800 (Thursday: 1.0772). The dollar thus cost 0.9259 (0.9283) euros.

More: Read here how the German stock market ended the week.

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How investors can invest in the biotech industry


Container of remdesivir in a Gilead laboratory
Image: AP

Shares in pharmaceutical and biotech companies are coming to the fore in the hope of protection against the corona virus. But in this difficult-to-understand industry, investors should take several pieces of advice to heart.

Dhe legendary co-founder of the software company SAP, Dietmar Hopp, turned 80 on Sunday, which even earned him congratulations from the Federal President. It is particularly noteworthy that Frank-Walter Steinmeier also talks about an investment by Hopp that has become known in these wild times: “With your work as a founder and patron you are changing the lives of many people,” the Federal President is quoted as saying. “In these times, we are watching your biotech company’s progress in developing a vaccine against the terrible coronavirus.”

Mark Fehr

This means the relatively young pharmaceutical company Curevac. In Tübingen, it is working flat out on a vaccine against the new coronavirus. Curevac is not yet on the stock market, but there are also many other listed pharmaceutical and biotech companies whose stocks have come under heavy scrutiny in the hope of vaccines and cures for the coronavirus. These include giants like the American company Gilead, or more agile speed boats like the Mainz company Biontech.

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US stock exchanges hardly change – Gilead Sciences weighed down

Dusseldorf The US stock exchanges closed little changed on Thursday. Relief from US economic data initially supported Wall Street. A media report on disappointing test results with the remdesivir agent for the possible treatment of Covid-19 then depressed the mood in late trade.

The standard value index Dow Jones closed 0.2 percent higher at 23,515 points. The technology-heavy Nasdaq stagnated at 8494 points. The broad S&P 500 lost 0.1 percent to 2797 points.

Last week, 4.4 million Americans applied for US unemployment benefits. In the previous week, however, the number of initial applications had been around a million higher.

The markets rated this as positive, even if a recession could not be averted, said Steven Blitz, chief economist for the USA at the research house TS Lombard. Investors appear to be betting that the economy will recover quickly if the restrictions to curb the coronavirus pandemic are relaxed.

However, Peter Cardillo, chief economist at Spartan, advised against excessive expectations. “The worst of the pandemic is probably behind us,” said Peter Cardillo, chief economist at Spartan. “But with the oil price at the current level, there is a threat of a wave of layoffs in the US energy sector, which will nullify the effects of a restarting economy.”

The US crude oil grade WTI rose 23 percent to $ 16.95 a barrel (159 liters) after its price fell below zero for the first time at the beginning of the week. At the beginning of March – before the outbreak of the virus crisis in the USA and before the price war between Saudi Arabia and Russia – WTI had still cost twice as much.

This drop in price is a problem especially for shale oil producers. According to experts, because of the complex fracking process, they only work profitably at a price of around $ 50.

Focus on individual values

Nevertheless, investors also accessed these values. The shares of companies like marathon, Occidental or Apache won up to eleven percent. The papers of the oil multinationals Exxon and Chevron each advanced about three percent. The paper from the company active in health care was also among the top values UnitedHealth with plus 3.0 percent.

The titles of Las Vegas Sands, which rose by around twelve percent. The casino operator expects the important Asian business to recover quickly as soon as the travel restrictions there are lifted. Competitors’ shares Wynn and MGM won up to 8.6 percent.

Eli Lilly shares jumped to a record high at $ 162.56. With a smaller plus of 2.1 percent to $ 159.93, they finally went out of the day. Investors recognized the 40 percent year-over-year increase in sales of the blockbuster drug Trulicity for diabetes to a quarterly record of $ 1.2 billion.

By contrast, the shares of Target, even though the retailer’s online sales almost quadrupled in the past quarter, making up for lost business from closed stores. However, the company warned of shrinking profit margins due to wage increases for employees. Target shares lost 2.8 percent.

The titles of Crocs even slipped by more than 16 percent. Known for its rubber slippers, the shoe manufacturer fell short of market expectations with quarterly sales of $ 281.2 million and earnings of $ 0.16 per share. The company also warned of further losses in the current quarter due to virus restrictions.

Among the losers Gilead Sciences with a discount of 4.3 percent. The company denied a media report of disappointing test results with the remdesivir agent for the possible treatment of Covid-19.

The study in China was terminated prematurely due to a lack of participants and was therefore not statistically meaningful, the US pharmaceutical company explained. The Financial Times has presented the process inappropriately, the World Health Organization accidentally posted a draft clinical trial on the Internet. The UN organization confirmed the breakdown and said the document had been removed after the error became known.

Quarterly reports were also in view.

Air Products & Chemicals Withdrawn the 2019/20 financial year forecast for earnings per share from the figures. The industrial gases manufacturer’s paper then gave way by 1.5 percent.

The chip manufacturer’s quarterly report, which was announced after the market closed, was also eagerly awaited Intel, whose shares in the Dow lost 1.8 percent. Intel ultimately disappointed with its earnings outlook for the second quarter, whereupon the papers gave in even more after-hours.

The share certificates of Snap down. The makers of the photo app Snapchat want to get $ 750 million (695 million euros) of fresh money on the market in the face of the corona crisis via convertible bonds.

In the US bond market, trend-setting ten-year government bonds rose 5/32 points to 108 16/32 points and returned 0.603 percent. The euro exchange rate went up and down in US trade and ultimately slid below the $ 1.08 mark again. At the close on Wall Street, the common currency was $ 1.0771. The European Central Bank set the reference price at $ 1.0772 (Wednesday: 1.0867). The dollar thus cost 0.9283 (0.9202) euros.

More: Read here what moves the German stock market on Thursday.

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Coronavirus vaccine: who is Biontech? – Economy

So far, hardly anyone knew the company from Mainz. Biontech is now the first German company to clinically test vaccine candidates against the coronavirus.

The share price is, at least for many investors, the measure of a company’s success. In the middle of the week, that of the Mainz-based biotechnology group Biontech on the US technology exchange Nasdaq rose to almost $ 56. That was an increase of more than 30 percent in a single day.

Biontech, so far largely unknown, is causing a sensation, because Mainz is the first German company to start clinical tests for four vaccine candidates against the coronavirus. Biontech develops, among other things, vaccines against cancer based on messenger ribonucleic acid. The vaccine against the virus is now based on the same technology. Biontech’s Corona range is called Lightspeed. According to the Association of Research-Based Pharmaceutical Companies, “at least 96 vaccine projects” have started worldwide since the beginning of the year. Only a few have made it into the clinical phase.

For Biontech, this is a great success in the tough business of biotechnology. Companies need a lot of time and a lot of money until the research results in products that then go through a long approval process. The failure rates are high. Now in the corona pandemic, companies like Biontech are hoping for immunity and healing. It was a long time before they made the headlines.

Biontech was founded in 2008 by the couple Ugur Sahin and Özlem Türeci and Christoph Huber. Everyone is still on board. Sahin is the chief executive officer, Türeci the chief medical officer on the executive board (as chief medical officer), Huber sits on the supervisory board. Sahin read in January, so he told it Manager magazine, in the British trade magazine Lancet for the first time about the unknown virus and the outbreak in the Chinese city of Wuhan. “Schools are tight in April,” Sahin said to his wife at the time. Then he was wrong, everything went faster.

With Biontech, on the other hand, he is successful. At that time, the money for the foundation came mainly from the twins Andreas and Thomas Strüngmann, 69. The founders and investors already knew each other from the Mainz company Ganymed. They also founded Sahin and Türeci, and the twins’ money was also in Ganymede. You know how pharma works. They are the founders of the generic drug manufacturer Hexal and, with the sale of their company to the Swiss pharmaceutical company Novartis in 2005, generated 5.6 billion euros. The twins do not want to let go of the drug business. In recent years, they have invested around 1.3 billion euros in biotechnology companies through their associated company Athos, and 250 million euros went to Biontech alone.

Biontech has been listed on the Nasdaq since October 2019. Athos boss Helmut Jeggle, he is also chief executive of Biontech, says the world, Germany can keep up with the international comparison in terms of research quality. But only in the USA are there such financing options and sufficient interest and understanding from investors who specialize in these very innovative technologies.

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The market value has multiplied in the past few weeks

Biontech has not had a single drug on the market yet, but has ten product candidates in clinical trials. The vaccine candidates against Sars-CoV-2 are not included, the clinical studies are only just starting. The company employs a total of 1300 people. Biontech generated around EUR 109 million in the 2019 financial year. The losses totaled almost 180 million euros.

Biontech’s issue price was $ 15. That corresponded to a market capitalization of over three billion dollars. The company is now worth a good $ 12 billion on the stock exchange. It peaked in mid-March at almost $ 21 billion. It was then that Biontech announced that it was making rapid progress in developing a vaccine. Then Biontech announced the entry of the Chinese pharmaceutical company Fosun with less than one percent. The companies want to jointly conduct clinical studies for the corona vaccine in China and, if successful, Fosun can only sell the vaccine in China. There is also up to $ 135 million. Biontech opens up the rest of the world with the US company Pfizer, which also participates and Biontech initially pays $ 185 million, and if successful, up to $ 563 million will flow. The Strüngmann brothers still hold half of Biontech’s capital. They separated from their participation in Ganymed in 2016. The Japanese company Astellas paid a good 422 million euros for the whole company with the prospect of more if active ingredients were successful. Biontech is worth more today. The address in Mainz already fits: An der Goldgrube 12.

Are you required for a vaccination?:Readers’ discussion

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American stock indices start with a plus

Mrelieved US economic data help Wall Street regain prices. The leading indices Dow Jones, Nasdaq and S&P 500 both rose by around one percent at the opening of exchange trading.

Last week, 4.4 million Americans applied for unemployment benefits. In the previous week, however, the number of initial applications had been around a million higher.

The markets rated this as positive, even if a recession could not be avoided, said Steven Blitz, chief economist for the United States at the research house TS Lombard. Investors appear to be betting that the economy will recover quickly if the restrictions to curb the coronavirus pandemic are relaxed.

Las Vegas Sands made a similar statement. The major casino operator expects the important Asian business to recover quickly as soon as the travel restrictions there are lifted. Las Vegas Sands shares then rose 13 percent, while competitors Wynn and MGM gained up to 12 percent.

Target’s shares, however, came under pressure, even though the retailer’s online sales almost quadrupled in the past quarter, compensating for the losses from closed stores. However, the company warned of shrinking profit margins due to wage increases for employees. Target shares lost 5.9 percent.

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Wall Street gets off to a good start – US unemployment figures have dropped

Wall Street

The New York Stock Exchange is located on the famous street.

(Photo: AP)

Dusseldorf The declining number of first-time jobless claims in the US seems to be giving investors hope that the economy will quickly recover from the corona shock. The Dow Jones started the trading day with a profit increase of around one percent at 23,543 points. The situation was similar at the start of trading for the S&P 500 (2810 points) and the Nasdaq (8529 points).

The prospect of further stimulus from the US government had prompted investors to buy stocks again on Wednesday. The standard value index Dow Jones closed two percent higher at 23,475 points. The technology-heavy Nasdaq advanced 2.8 percent to 8495 points. The broad S&P 500 gained 2.3 percent to 2799 points.

As announced on Thursday, the number of first-time job applications in the US has decreased compared to the previous week: by April 18, 4.4 million Americans had registered unemployment. Previously, 5.2 million people applied for new support. In the meantime, 26 million people have lost their jobs within a month.

However, it is certain that the corona pandemic thus slowed the positive development of the US labor market: In February, the USA celebrated the lowest unemployment rate in decades, and until March, initial applications were regularly below 100,000 a week. Some analysts estimate the US unemployment rate as high as 15 percent.

Look at the individual values

Of the Casino operator Las Vegas Sands expects the important Asian business to recover quickly as soon as the travel restrictions there are lifted. Las Vegas Sands shares then rose 13 percent, while competitors Wynn and MGM gained up to 12 percent.

Things looked worse with the papers from Target out. Although the retailer’s online sales almost quadrupled in the past quarter, thereby compensating for the losses due to closed stores, the share came under pressure: the company warned of shrinking profit margins due to wage increases for employees. The Target shares lost 5.9 percent.

With agency material.

More: Read here what moves the German stock market on Thursday.

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