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The Markets
by Proactive
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The Markets
by Proactive
Proactive UK has moved.
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US stocks close lower as investors focus on inflation data

The US Labor Department on Friday will release the consumer price index for November

4:05pm: US equities close lower after gains

US stocks closed lower after all three of the major averages posted three straight days of gains.

Traders took a pause from the rebound rally and turned their attention to inflation data due out on Friday.

On the day, the DJIA fell by 0.06 points to 35,754 and the S&P 500 decreased 0.72% to 4,667.

And the tech-heavy Nasdaq dropped 1.71% to 15,517

1.00pm: US stocks continue to trade fitfully

US stocks continued to trade fitfully in the afternoon with the broad indexes falling as investors assessed weekly jobless claims data and the latest global restrictions to limit the spread of the Omicron variant.

The Federal Reserve’s policy-making body holds a two-day meeting next week, at which it may provide more details about how it plans to wind down its bond-buying program and when it plans to begin raising interest rates.

The Dow Jones Industrial Average slipped 0.1%, while the Nasdaq Composite lost 0.7% to hover around 15,674.61. The S&P 500 dropped 0.4% after closing up 0.3% Wednesday.

“Rising Omicron and Delta cases bring expectations of a restricted December. However, wider hopes for a strong 2022 recovery should help lift sentiment for the weeks ahead,” said Joshua Mahony, Senior Market Analyst at IG, a global leader in online trading.

“Tech stocks lag as monetary policy outlook remains geared towards tightening,” he added.

11.00am: Proactive North America headlines:

Aladdin Healthcare gains approval to move up to the OTCQB as it looks to re-position its business through merger or acquisition opportunities

CO2 GRO says its CO2 Delivery Solutions system commences operation at Colombia rose commercial facility

Mydecine secures C$5.5M financing from a strategic investor; provides corporate update

Audacious inks letter of intent with LDA Capital for $20M convertible bond funding commitment

Stifel raises Nomad Royalty (TSX:NSR) price target to C$21.50 following $75M gold stream acquisition on Platreef project

Avalon GloboCare advances its AI-enhanced protein design technology for cellular therapy development in collaboration with MIT

Thunderbird Entertainment promotes Matthew Berkowitz to president in addition to his current role as chief creative officer

CleanSpark adds new immersion cooling infrastructure at its Norcross bitcoin mining facility that will increase efficiency

Vendetta unveils $4.7M investment by Singapore J&Y Investment PTE. Ltd

PlantX Life Inc generates record 2021 Black Friday and Cyber Monday revenue

Aurion Resources (TSX-V:AU) says JV with B2Gold in Finland intersects “significant” gold mineralization, extends Helmi discovery strike length to 1.3 km

Victory Square Technologies offers an update on its promising portfolio of companies and rosy outlook

Biocept says its CNSide assay identified HER2 and other tumor alterations in cerebrospinal fluid of patients with breast cancer and leptomeningeal disease

Star Royalties notes resource update at Elk gold mine in BC where it recently bought a 2% NSR

CytoDyn files for expanded access use of leronlimab for multi-drug resistance HIV patients

FSD Pharma (CSE:HUGE, NASDAQ:HUGE) says it formed new regulatory advisory board, appoints Joga Gobburu and Mary Melnyk as members

Harbor Custom Development closes $3.8M sale of 20 developed lots in Washington to Noffke Homes

Zephry Energy could fuel crypto mining to monetise Utah discovery

Tocvan Ventures set to kick off new drill campaign at Pilar gold-silver project in Mexico

MAS Gold updates Mineral Resource estimate for North Lake gold deposit in Saskatchewan

Organic Garage (TSX-V:OG) says Future of Cheese products make restaurant debut as foodservice distribution begins

Cabral Gold reports promising assay results from MG gold-in-oxide blanket and identifies new gold anomaly north of Alonso at Cuiú Cuiú in Brazil

Cloud DX (TSX-V:CDX, OTCQB:CDXFF) grabs the attention of world’s largest MedTech company as it continues to break boundaries

AIM ImmunoTech’s Ampligen safety data presented at Eighth European Scientific Working Group on Influenza

Great Bear Resources (TSX-V:GBR) and its Dixie gold project snapped up by Canadian major Kinross in C$1.8 billion deal

Cloud DX (TSX-V:CDX, OTCQB:CDXFF) says post-surgical monitoring wearable validated in peer-reviewed study

9.50am: US stocks start in red

Shares on Wall Street headed south on Thursday as jitters continued on the new coronavirus (COVID-19) variant, while traders also mulled the latest jobs data.

The Dow Jones Industrial Average shed around 117 points in New York to stand at 35,637. The broader-based S&P 500 lost around eight points at 4,693.

The tech-laden Nasdaq Composite index lost around 18 points at 15,768.

"Investors are in a cautious mood once more, after stock markets bounced back strongly at the start of the week on reports that omicron symptoms are less severe than feared," said Craig Erlam, analyst at Forex group Oanda.

"There's still too much to learn about the variant to make firm conclusions but what we're seeing is already enough for governments to be imposing new restrictions," he added.

Tomorrow sees the release of important US inflation news, namely, the consumer price index for November. Reportedly, some economists expect the growth rate, year-over-year, to be 6.7% - marking the biggest move since mid1982.

Also today, traders are mulling over official US data showing that new claims for unemployment benefits sank to a 52-year low of 184,000 for the week to December 4.

6.30am: US stocks seen opening down

US stocks are expected to open lower, ending three days of gains for equities made on easing concerns over the severity of the new coronavirus (COVID-19) Omicron strain.

Investors are now cautiously eyeing US inflation data due for release on Friday to indicate the Federal Reserve’s next policy move.

Futures for the Dow Jones Industrial Average declined 0.35% in Thursday pre-market trading, while contracts for the broader S&P 500 index shed 0.36% and those for the tech-heavy Nasdaq 100 fell 0.45%.

Stocks headed into the green in Wednesday late afternoon trading after Pfizer said a third dose of its vaccine would be effective against the Omicron variant. The S&P 500 gained 0.3% to close at 4,701, while the Dow Jones edged 0.1% higher to 35,755 and the Nasdaq Composite closed at 15,787, a 0.6% increase.

“We had a sharp sell-off on omicron on Nov 26th, a couple of really volatile days and then a steady march back to where we were before – now markets are seeking fresh direction and the path of least resistance appears to be sideways for a bit until there is a bit more known about Omicron, inflation and the Fed,” commented Neil Wilson, chief market analyst for Markets.com.

“Tomorrow’s CPI inflation print for the US could upset the recent recovery – looks like 7% for annual inflation would not be far off the mark. This would cement the Fed’s hawkish pivot,” he added.

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