NY Stock Market Closes Lower Despite Strong Retail Earnings... Supply Chain Improvement Hopes Boost Apple Gains

by Paek Jongmin

Published 18 Nov.2021 07:30(KST)

[Image source=AP Yonhap News]

[Asia Economy New York=Correspondent Baek Jong-min] Major indices on the New York Stock Exchange closed lower despite strong retail sector earnings, weighed down by declines in the financial and energy sectors.

On the 17th (local time), the Dow Jones Industrial Average fell 211.17 points (0.58%) to close at 35,931.05, the S&P 500 index dropped 12.23 points (0.26%) to 4,688.67, and the Nasdaq index declined 52.28 points (0.33%) to 15,921.57.

Before the market opened, strong earnings reports from retailers Target and Lowe's were announced, but Target's shares fell 4.7% while Lowe's rose 0.39%. Discount apparel retailer TJX gained 5.8% on the back of strong earnings.

Target's stock decline was interpreted as being influenced by its statement that it would not pass on increased costs caused by supply chain disruptions to consumers.

Financial companies also saw significant stock declines. Goldman Sachs fell 2.86%, State Street 2.45%, and Morgan Stanley 2.99% respectively.

Shares of emerging electric vehicle companies, which had surged for consecutive days, underwent a correction. Lucid Group, which had surged more than 20% the previous day, dropped 5%, and Rivian plunged 15%.

Tesla rose 3.25% despite the declines in shares of emerging electric vehicle companies. During the session, Tesla's stock price surpassed $1,100, returning to the 'One Thousand One Hundred Sla' level. Tesla CEO Elon Musk also sold about $973 million worth of shares the previous day.

Credit card company Visa fell about 5% after Amazon announced it would stop accepting Visa card payments issued in the UK starting next year.

Moderna rose 4% following its application to the Food and Drug Administration (FDA) for approval of a COVID-19 vaccine booster shot for those aged 18 and older.

Apple's upward trend stood out. On the day, Apple's stock rose 1.65%, showing a notable increase among major tech companies. During the session, it rose more than 2%.