The week that is coming to an end seems to have brought new records to the US stock market, with the Dow Jones or S&P 500 indexes setting records and the technology Nasdaq now lagging, even though it made the biggest gain for the week.
Looking at the weekly returns, the Nasdaq 100 contracts seem to have risen by more than 2 percent, with the S&P 500 up by 1.82 percent and the Dow Jones Industrial Average up by just over 1.1 percent. However, the index has risen the least in a week, as it scored the smallest correction earlier, reaching an all-time high of 35,670 points, followed by the S&P 500 rising to 4552 points, while the Nasdaq remained without a record.
Intel's performance seems to be the main reason for the weakness in the Nasdaq index. Intel shares fell about 12 percent after the company reported weaker-than-expected sales as computer shipments were affected by component shortages. Still, 84 percent of the companies that have reported third-quarter results so far have surprised on the upside, according to Refinitiv. On a weekly basis, the three major stock indexes are on track to record a third straight week of gains after earlier corrections.
Gold and silver week
Looking at the weekly returns, of the popular markets it is silver that seems to come out on the top. During this time, the price rose nearly 6 percent to over $24.6 per ounce. Gold rallied just over 2.2 percent, breaking through the $1,800 level. WTI crude oil futures were further down, rising to just under 1.5 percent for the week, with the price likely to close in the $83.5 area. On the other hand, natural gas appears to be down 1.5 percent this week, along with copper, which seems to be losing more than 3.6 percent. This may indicate some reshuffling in the commodities market and a movement of funds from markets with very fast and large trends to markets where those trends did not seem to be occurring.
Macroeconomic data disappointed
The U.S. manufacturing PMI index fell to 59.2 in October 2021 from 60.7 in September. The reading indicated a third consecutive month of slowing factory activity after a record increase in July. It reflected a weaker expansion in production and moderate growth in orders. U.S. manufacturing grew at the slowest pace since July 2020 as production continued to be hampered by supply issues and component shortages. October saw a record extension of delivery times. These problems and continued sales growth prompted companies to further increase purchasing activity and build inventories. At the same time, material shortages combined with logistics problems and higher commodity prices contributed to a further increase in average input costs, which once again reached a record level.
Daniel Kostecki, Director of the Polish branch of Conotoxia Ltd. (Forex service)
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