'FOMC Effect None' New York Stock Market Weakness... Apple and Dogecoin Strength (Comprehensive)

by Paek Jongmin

Published 29 Apr.2021 06:35(KST)

[Image source=Reuters Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] Major indices on the New York Stock Exchange closed lower despite the Federal Reserve (Fed) confirming its accommodative stance. Apple and Facebook showed strength in after-hours trading, buoyed by strong earnings.

On the 28th (local time), the Dow Jones Industrial Average fell 164.55 points (0.48%) to close at 33,820.38, the S&P 500 index dropped 3.54 points (0.08%) to 4,183.18, and the Nasdaq index declined 39.19 points (0.28%) to 14,051.03.

On this day, major indices failed to gain upward momentum despite Fed Chair Jerome Powell emphasizing the continuation of accommodative monetary policy following the Federal Open Market Committee (FOMC) regular meeting.

The Fed and Chair Powell focused on the temporary nature of inflation increases due to the resumption of economic activity. This was aimed at dispelling concerns about early tapering of asset purchases or interest rate hikes amid spreading inflation worries.

Alphabet, Google's parent company, whose earnings exceeded expectations the previous day, saw its stock rise more than 3%. Microsoft (MS), despite reporting better-than-expected earnings, fell 2%.

Apple announced that its first-quarter sales increased by 54% compared to the same period last year. Apple's stock fell 0.6% during regular trading but rose 2.6% in after-hours trading. Facebook also reported about a 48% increase in sales and rose more than 4% in after-hours trading.

Aircraft manufacturer Boeing posted a sixth consecutive quarterly net loss, falling more than 2%.

In cryptocurrencies, Bitcoin dipped slightly while Dogecoin showed notable strength. Bitcoin traded around $54,450, down 0.7% compared to 24 hours earlier, amid news that the U.S. Securities and Exchange Commission (SEC) delayed its decision on approving a Bitcoin ETF.