Global Automakers Faced Uncertainty by Chip Supply Shortages
According to comprehensive media reports, General Motors reported a plunge of 8.3%, highlighting the uncertainty faced by global automakers in chip supply shortages and economic disruptions. GM’s rival Ford Motor also fell 3.2%.
Among the 11 sectors of the S&P 500 Index, 9 declined. Industrial stocks and energy stocks both fell. Data showed that the number of private employment in the United States in July was much lower than expected, which may be affected by labor and raw material supply shortages.
Fed vice chairman Richard Clarida said that the Fed should be able to start raising interest rates in 2023 because data shows that the US service industry activity indicator jumped to a record high last month.
Heavyweight technology stocks, including the audio-visual streaming platforms Netflix, Amazon, and Facebook, were regarded as “home winners” during the lockdown period last year, and their share prices led the market due to the decline in bond yields.
Robinhood, an online brokerage firm, rose 50.4%. Due to large purchases by female stocks Cathie Wood and retail investors, Robinhood rose for the fourth consecutive trading day after its flat performance last week.
At the close of US stocks today, the Dow Jones Industrial Average fell 323.73 points, or 0.92%, to 34792.67 points.
The S&P 500 Index fell 20.49 points, or 0.46%, to 4,402.66.
The Nasdaq index rose 19.24 points, or 0.13%, to 14,780.53 points.
The Philadelphia Semiconductor Index rose 40.24 points, or 1.18%, to 3,436.90 points.