Leading Wall Street indexes sent January with strong crosses on Monday, CNBC reported. However, the recovery from the last two sessions of the S&P 500 and Nasdaq Composite is the worst month since the beginning of the pandemic amid the highest interest rates from the Federal Reserve.
On Monday, the broad S&P 500 added 1.9%, reducing the loss for the month to 5.2%. This is the largest decline of nearly 13 percent in March 2020 and the worst in January 2009.For its part, the Dow Jones Industrial Average added 406 points, or 1.2%. Thus, the decrease for the month shrinks to 3.3%.
The technology benchmark Nasdaq Composite advanced 3.4%, adding 3% on Friday. However, the figure is 9% back for the month – also its worst performance since March 2020. Last week, the US Federal Reserve signaled a possible increase in key interest rates for the first time in more than three years in a bid to tackle inflationTechnology stocks were hit hardest this month as investors feared higher interest rates would hurt their highs and raise costs.
On Monday, the shares of Netflix and Spotify are eligible for 11.1% and 13.4% after an increased rating by Citi. According to the bank, this month’s sales are a good time to buy. However, the price of Netflix is down nearly 30% for the month, and that of Spotify is up 17%. Tesla shares were up 12% in January, but added 10.9% on Monday after Credit Suisse raised their rating.
Other manufacturers of electric cars also reported an increase – for Rivian by 15.1% and for Lucid by 8.3%.At Nvidia, the increase was 7.2%, but for the month the company’s shares fell by 18%. Outside the technology sector, Boeing’s shares topped the Dow with 5% growth after a $ 34 billion deal with Qatar Airways.
At one point during the month, the S&P 500 was in adjustment territory on a daily basis, but recent increases have reduced the loss relative to its absolute growth to below 7%. Nasdaq Composite remains at 13% of its last record.
Last week was particularly volatile for the major indices: the Dow recorded movements of 1,000 points in both directions, but still optimism prevailed and the index sent the week up 1.3%. The S&P 500 advanced 0.8%, leaving the Nasdaq unchanged.