DThe widespread economic data scared investors off on Wednesday when the stock market started in America. In addition, there were high price losses for bank shares after other institutions had presented poor quarterly figures.
The New York leading index Dow Jones Industrial dropped 2.2 percent to 23,402 points in the first hour of trading. However, the Wall Street Barometer is still a good 28 percent above its Corona crisis low of March 23.
The broader S&P 500 fell 2.4 percent to 2,776 points in the middle of the week. The technology-heavy selection index Nasdaq 100 lost 1.7 percent to 8,544 points, again doing better than the standard values.
As a result of the Corona crisis, the high-profile US retail sales slumped in March as never before. In addition, the mood in the New York state of industry deteriorated to an unprecedented level in April. The Empire State Index dropped to a record low and signaled a slump in economic activity. Finally, industrial production in the United States fell more sharply in March than it had in 1946.
“So it came as feared, and it won’t get any better,” commented analyst Bernd Krampen from NordLB. “Production can only be restarted slowly if you don’t want to risk a second wave of virus spreading.” The record break in the New York Empire State Index further illustrates the extent of the horror.
Ray of hope Netflix
However, some companies also benefit from the social standstill. Netflix shares soared to a record high on Wednesday. In early trading, they advanced to $ 424. Most recently, they were 1.3 percent higher and cost $ 418.88. In a weak market environment, they set a positive exclamation mark.
The streaming provider and film producer is considered one of the beneficiaries of the virus crisis. Because many people currently work little or not at all due to the limitations of economic and public life, consumption at home increases after entertainment. Since its low in the wake of the $ 290.25 virus crisis in mid-March, Netflix stocks have now gained more than 44 percent.