Wall Street backs down pending the rise in sovereign bond rates

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Wall Street retreats sails after having managed to save the session the day before. The umpteenth rebound of yield of the US ten-year bond it becomes the signal expected by some to make cash with their positions in equities, where yesterday new all-time highs were seen again.

Investors are still very aware of the evolution of infections by Covid-19, of the social restriction measures and the consequences that the liquidity crisis of the hedge fund Archegos Capital Management may have for the system as a whole. Added to all this is the rebound of the sovereign bond with yields close to 1.8%.

Against the current of Europe, the New York indices are dressed in red. The Dow Jones it loses 0.3% although it manages to hold above 33,000 points. 0.5% yields S&P 500 up to 3,900 points. Meanwhile, the Nasdaq it fell 0.8% and dropped again from 13,000 points.

This is how Wall Street opens Eduardo Bolinches

In the macroeconomic scenario, the two references of the session leave a bitter taste. First the traditional Weekly Retail Sales Redbook Index. In the last seven days, businesses have billed a substantial 17.4% less than a year ago. Meanwhile, the index of house prices January shows an increase of 12%, in line with the previous month.

The good news that helped keep investors from checking out came with the Conference Board Consumer Confidence Index, which rebounded to 109.7 points, which represents a decided advance due to expansive terrain when no reading beyond 97 integers was expected.

Transfers and purchases

One more day, the video game store chain GameStop he became the protagonist again. This Tuesday, the company rebounded about 1% after announcing the signing of Elliott Wilke, former Amazon executive, as director of strategy. A position that implies the responsibility of redefining the company’s business, largely based until now on its physical stores.

A special purpose procurement company (SPACwas placed in the candlestick because it has already found where to cast the noose. Quell Acquisition rises more than 2% after announcing that to buy German manufacturer of electric vertical take-off and landing technology Lilium GmbH.

Regarding the ‘Archegos case’, ViacomCBS it recovered from its crash yesterday with gains of more than 5%. Two financial giants like Goldman sachs and Morgan stanley They are also recovering from the punishment suffered the day before, with rises close to 2%.