Dow Jones Index Draws More Attention Than Nasdaq (Comprehensive)

European Union leaders are having a conversation after concluding their summit on the 21st.
[Photo by AP Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] In the New York stock market, major indices showed mixed results despite the positive news of the European Union (EU) stimulus agreement. The Nasdaq market declined, while the Dow Jones Industrial Average showed strength amid expectations of economic recovery.

On the 21st (local time), the Dow Jones Industrial Average rose 159.53 points (0.6%) to close at 26,840.40, the S&P 500 index increased by 5.46 points (0.17%) to 3,257.30, and the Nasdaq index fell by 86.73 points (0.81%) to 10,680.36.

The decline in the Nasdaq, which had surged sharply the previous day, was notable. Amazon, which led the market rally with an 8% surge the day before, showed a decline of around 1%, and Microsoft, Apple, and others also fell simultaneously.

Unlike the Nasdaq's decline, the Dow showed strength. It is interpreted that as the surge in Nasdaq tech stocks became a burden, buying interest shifted to Dow stocks, which had smaller gains.

Chevron rose by as much as 7% due to rising oil prices and merger effects, and ExxonMobil also showed strong gains in the 5% range. Among the 30 stocks included in the Dow index that day, only nine stocks declined. Most of the declining stocks were related to information technology.

With the end of the expanded unemployment benefits policy approaching, discussions on additional economic stimulus measures between the US Congress and government have yet to find a breakthrough. Treasury Secretary Steven Mnuchin and House Speaker Nancy Pelosi expressed their desire to reach an agreement on additional stimulus measures by the end of this month.

The resurgence of COVID-19 has somewhat slowed. The Wall Street Journal reported that according to Johns Hopkins University data, new COVID-19 cases in the US exceeded 60,000 but recorded the lowest number in the past week. However, California surpassed 400,000 cumulative infections on the day, nearing to overtake New York State, which currently ranks first in infections in the US. New York State's infection count is about 408,000. Florida, where infections have been rapidly increasing, is also approaching 370,000 cases, making it highly likely to exceed 400,000 this week.

International oil prices were strong on the 21st (local time) due to expectations of economic stimulus. West Texas Intermediate (WTI) crude oil for August delivery closed at $41.96 per barrel, up 2.8% ($1.15) from the previous day. This is the highest price since March. This is attributed to the EU leaders' agreement to introduce a 750 billion euro economic recovery fund.

Gold for August delivery closed at $1,843.90 per ounce, up 1.5% ($26.50). This is the highest level since September 2011.

This content was produced with the assistance of AI translation services.