Market Wrap | Wall Street Slips as Omamela and Quantum Rocket Despite PPI Plateau and Bitcoin's Plunge
1min read New York, November 14th (Thursday) – The U.S. stock market witnessed a downtick today as all three major indices closed in the red. The S&P 500 fell by 0.61% to 5949.17, the Dow Jones Industrial Average dipped 0.47% to 43750.86, while the Nasdaq Composite declined by 0.64% to settle at 19107.65.
On the company-specific front, shares of Omamela Pharmaceuticals surged, marking an impressive 65.87% increase. Quantum Computing followed closely with a rise of 65.41%, while Gray Television Class A shares saw a significant climb of 37.60%. Meanwhile, stocks like Nuvectis Pharma took a hit, dropping by 46.30%, while Mercurity Fintech and Hims & Hers Health experienced sharp declines of 34.50% and 24.48%, respectively.
The macroeconomic scene was highlighted by the latest Producer Price Index (PPI) data released by the U.S., which met expectations yet left the stock markets somewhat tepid after initially opening higher. The PPI for October recorded a 0.2% month-over-month increase, maintaining alignment with projections. Year-over-year, the final demand PPI grew by 2.4%, with core PPI—excluding food and energy—rising by 3.1%.
In the cryptocurrency arena, Bitcoin experienced a dramatic dip, briefly falling beneath the $89,000 mark. This drop was accompanied by a near-record liquidation wave affecting approximately 200,000 accounts within a 24-hour period, according to data from Coinglass.
Amid these market developments, Federal Reserve officials remain poised on their dual mandate, assessing inflation and employment metrics. Despite ongoing rate reductions—a 25 basis point cut following a 50 basis point slash in September—the Fed plans to pause further decreases should inflation remain stubbornly persistent. Specific concern lies in the continuous cooling of the labor market juxtaposed against inflation's gradual descent towards the Fed’s target.
Meanwhile, European markets showed robust gains across the board, lifted by supportive economic indicators. French and German stock indices led the charge with over 1% increases, buoyed by the European Central Bank's note of inflation retreat beginning to solidify.
The day's disclosures offered a cautiously optimistic view given the international dynamics and internal economic indicators, signaling an interesting phase for traders and analysts in the ongoing economic cycle.